Perfect Competition If the government sets a quota of 200 thousand units a. What quantity and price after regulated quota? b. How much consumer surplus does the consumer receive? c. How much producer surplus does the producer receive? d. What is the total surplus the Community get? e. How much deadweight loss? Price (dollars per purse) 50 40 30 20 10 T D b C D- MSB S = MSC 100 200 300 400 500 600 Quantity (thousands of purses per month)

Perfect Competition If the government sets a quota of 200 thousand units a. What quantity and price after regulated quota? b. How much consumer surplus does the consumer receive? c. How much producer surplus does the producer receive? d. What is the total surplus the Community get? e. How much deadweight loss? Price (dollars per purse) 50 40 30 20 10 T D b C D- MSB S = MSC 100 200 300 400 500 600 Quantity (thousands of purses per month)

Principles of Economics (MindTap Course List)

8th Edition

ISBN:9781305585126

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter7: Consumers, Producers, And The Efficiency Of Markets

Section: Chapter Questions

Problem 6CQQ

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