Figure 8-11
-Refer to Figure 8-11. Suppose Q1 = 4; Q2 = 7; P1 = $6; P2 = $8; and P3 = $10. Then, when the tax is imposed,
A) consumer surplus decreases by $13.
B) producer surplus decreases by $13.
C) the deadweight loss amounts to $6.
D) the amount of the good that is sold remains unchanged.

Question

Figure 8-11 
-Refer to Figure 8-11. Suppose Q1 = 4; Q2 = 7; P1 = $6; P2 = $8; and P3 = $10. Then, when the tax is imposed,
A) consumer surplus decreases by $13. 
B) producer surplus decreases by $13. 
C) the deadweight loss amounts to $6. 
D) the amount of the good that is sold remains unchanged.

Quizplus · Accepted Answer

The Answer of Figure 8-11 
-Refer to Figure 8-11. Suppose Q1 = 4; Q2 = 7; P1 = $6; P2 = $8; and P3 = $10. Then, when the tax is imposed,
A) consumer surplus decreases by $13. 
B) producer surplus decreases by $13. 
C) the deadweight loss amounts to $6. 
D) the amount of the good that is sold remains unchanged.

Figure 8-11 -Refer to Figure 8-11. Suppose Q1 = 4; Q2 =