Suppose the demand and supply curve for crude oil at any given period is: Pd= =380−3Q and Ps=28+1Q Where price is measured in dollars and quantity is measured in barrels. Furthermore, for each barrel of oil produced, there is $32 worth of negative externality. The market currently unregulated and produces 88 barrels of oil and the market price is $116. Externality, Part A: What is the Total Social Welfare before government regulation?

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