Consider a market where supply and demand are given by Q X S = -14 + P X and Q X d = 82 - 2P X . Suppose the government imposes a price floor of $37, and agrees to purchase and discard any and all...

Consider a market where supply and demand are given by Q_X
^S = -14 + P_X and Q_X
^d = 82 - 2P_X. Suppose the government imposes a price floor of $37, and agrees to purchase and discard any and all units consumers do not buy at the floor price of $37 per unit.

Instructions:Enter your responses rounded to the nearest penny (two decimal places).

a. Determine the cost to the government of buying firms’ unsold units.


$


b. Compute the lost social welfare (deadweight loss) that stems from the $37 price floor.