6) The PE for a product is $50. The government feels this is unfair and they lower the price to $40. Is this a price ceiling or floor? What will be the result? In a graph, draw this situation and show the consumer surplus and producer surplus.

For the subsidy in the last question ($1000 per month), what are: (a) the change in consumer surplus; (b) the change in producer surplus; (c) the government cost of the subsidy; and (d) the deadweight loss.

The diagram to the right shows a market in which a price floor has been imposed. Calculate the following: 5.25 a. Consumer surplus with this price floor is $ Supply b. Producer surplus with this price floor is $ 4.25A. Proor c. The deadweight loss is 3.25 d. Compared to equilibrium, the transfer of consumer surplus to producers is $ E D. 2.25 Demand 1.25 35,000 70.000 Quantity Price

Don't use chatgpt, I will 5 upvotes The diagram below shows the market for cheddar cheese. The government has imposed a price ceiling in the market at $2.4. Calculate the consumer surplus

Relative to the equilibrium, who is made better off by a price ceiling that equals $2?   A. Buyers   B. Sellers   C. Both buyers and sellers   D. Neither   E. None of the above

A P1 P2 P3 Quantity (Figure: Gain in Consumer Surplus) Look at the figure Gain in Consumer Surplus. If the price is at P1. The government set a price ceiling at P3, identify the area or areas that represent the new total consumer surplus. O A and B O A and B and C O A and B and C and D OA O A and B and D F.

What does each part of the graph stand for? Assume that a local government imposes a price ceiling of $8, how many units will be excessively supplied/demanded?