Figtuc depicts the market for rice in the country Of Shiva. $10 autntitr per period (millions kilos) a) What is the present equilibrium price and quantity traded in this market? Price: (untity traded: b) How much, in total, are rice buyers paying for this quantity? c) Suppose that government introduces a price floor of $8 per kilo. How much in total Will rice buyers now be paying? d) As a result of price floor. what Will be the total amount Of the surplus? What Will be the dollar amount Of this surplus? Who will be responsible for buying this surplus, the government or the farmers? Surplus: kilos Of rice Dollar amount of surplus: S Surplus is responsibility OF. e) Suppose that after the imposition of the price floor, the demand in Shiva increases by 1.5 million kilos. Draw the new demand on Figure 3, 2 ! , and label it f) Now, how much in total will rice buyers be paying? Price; Quantity traded: Total spending: g) What will be the total amount of the new surplus? What will be the dollar amount of this surplus? Surplus: kilos of rice Dollar amount of surplus: $ h) After the change in demand, what would happen if, as a result of a bad harvest. the supply now drops by three million kilos? Draw the new supply curve on Figure 3.21 , and label it ST i) What will be thc new the quantity traded thc total spending of buyers, the surplus and the dollar amount Of the surplus? Price: Quantity traded: Total spending: Surplus: Dollar amount of surplus: $