HW chap 15-5

Whatwillbethedeadweightloss createdbythesubsidy

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Unformatted text preview: ll be the effects on aggregate surplus, consumer surplus, and producer surplus? What will be the deadweight loss created by the subsidy? Instructions: Round your answers to 2 decimal places. New lev el of c ons umer s urplus New lev el of produc er s urplus Cos t of the s ubs idy to gov ernment New lev el of aggregate s urplus Deadweight los s Am ount ($) 9.3 billion 0.84 billion 3.92 billion 6.22 billion 1 billion Worksheet Section: Taxes (and Subsidies) The market demand function for corn is Qd = 6...
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This note was uploaded on 01/22/2014 for the course ECO 3352 taught by Professor Ax during the Fall '13 term at Troy.

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