QUESTION 7 Consider this following graph Private Cost A P2- В PMarket F C P D Social Benefit 'D (private benefit) QMARKET QOPTIMUM Q The DWL is equivalent to area In order achieve the optimal...

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Extracted text: QUESTION 7 Consider this following graph Private Cost A P2- В PMarket F C P D Social Benefit 'D (private benefit) QMARKET QOPTIMUM Q The DWL is equivalent to area In order achieve the optimal quantity, the government should implement a corrective (tax/subsidy) . This means that the government will (lose/gain) welfare. True/False After the government's corrective policy in the market: Consumer Surplus=A+B+E. Producer Surplus=B+C+D+E+F+G There is a total gain in the private market welfare due to the government intervention.