Figure shows a price floor of $21 in the market for guitar lessons. Calculate the dollar value

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Figure shows a price floor of $21 in the market for guitar lessons. Calculate the dollar value of the deadweight loss caused by the price floor, using the numbers on thegraph

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Macroeconomics Principles and Applications

ISBN: 978-1133265238

5th edition

Authors: Robert e. hall, marc Lieberman

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Question Posted: Dec 11, 2012 12:25 AM

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Figure shows a price floor of $21 in the market for guitar lessons. Calculate the dollar value

Question:

2. causes the price to rise Price per Bottle $3.00 3. shrinking the excess demand until price reaches its equilibrium value of S3.00 1.00-H Excess 1Demand 1. At a price of $1.00 per bottle an excess demand of 50,000 bottles Number of Bottles per Month 25,000 50,000 75,000

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Macroeconomics Principles and Applications

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