Answer: 252 Due to good weather, there is an increase in the demand for the good. The new demand equation is Qd = 190 - 2P. The government is trying to decide between two options: • Maintain the...

I need help with answering the second image. Calculate the Price observed in the market The consumer surplus The producers surplus Deadweight loss

Extracted text: Answer: 252 Due to good weather, there is an increase in the demand for the good. The new demand equation is Qd = 190 - 2P. The government is trying to decide between two options: • Maintain the number of quotas and let the market adjust, or • Maintain the price support and increase the number of quotas. Suppose that the government decides to maintain the number of quotas and let the market adjust. (c) Calculate the price observed in the market, HINT: Sketch the supply and demand equations. Answer: 46 (1) the consumer surplus,


Extracted text: Question 6 A market has a demand function given by the equation Qd = 180 – 2P, and a supply function given by the equation Qs = -15 + P. The market is government-regulated with a price support per unit and production quotas. (NOTE: A production quota is a restriction on the quantity of the good that can be produced. Firms are not allowed to produce more than the quota) (a) If the price is set at $72 per unit, what production quota is needed to make sure there are no shortages or surpluses? HINT: Sketch the supply and demand equations. Answer: 36 Considering the price support and the quota, calculate ) the consumer surplus, Answer: 324 e to search 近