Define consumer and producer surplus. What is meant by economic efficiency, and how does it relate to consumer and producer surplus? Recent tax reforms make college tuition partially tax deductible...

Define consumer and producer surplus. What is

meant by economic efficiency, and how does it

relate to consumer and producer surplus?

Recent tax reforms make college tuition partially tax

deductible for certain families. This should motivate

more people to attend college. How will this higher

demand for a college education affect tuition prices?

How will it affect the cost of college for families

who don’t qualify for the tax deduction?