Question: 1. Suppose that demand for a product is given by: Q '= 5m .000. - lP . Supply of the product is given by: Q'

$1. Suppose that demand for a product is given by: Q\"$

1. Suppose that demand for a product is given by: Q\" '= 5m .000. - lP . Supply of the product is given by: Q' = 400,000 +50P. Suppose the government imposes a ceiling price of $3,2U on the market. A. What is the size of the shortage in the market with the price ceiling? What is the producer surplus? B. What is the maximum consumer surplus. assuming the good is purchased by consumers with the highest willingness to pay? What is the net economic benefit? What is the deadwcight loss'? C. What is the minimum consumer s with the lowest willingness to pa deadweight loss? D. Provide a detailed graph - LABEL EVERYTHWGI Be sure to include on your graph both areas For consumer surplus {it may be easier to draw unique graphs). urplus. assuming the good is purchased by consumers 3r? What is the net economic benefit? What is the

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