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$38 $36 $34 $32 $30 S = MC $28 $26 $24 $22 $20 $18 $16 $14 D= MB $12 $10 58 $6 SO 1 2 3 5 7 8 9 10 11 12 13 14 15 16 Quantity (Q) The graph above shows the supply and demand functions for a product produced in a small country in a perfectly competitive industry. The demand function is the sum of the flemand functions of all the consumers in this country, the same as their marginal benefit functions. The supply function is the sum of the marginal-cost functions of all the firms in the industry. What are the consumer and producer surpluses in this industry? Consumer Surplus = $75 & Producer Surplus = $80 Consumer Surplus = $80 & Producer Surplus = $80 Consumer Surplus = $81 & Producer Surplus = $81 Consumer Surplus = $85 & Producer Surplus = $85 None of the above.$38 $36 $34 $32 $30 $28 S = MC $26 $24 $22 $20 $18 $16 $14 $12 D= MB $10 $8 $6 $4 $2 SO 0 2 6 . 7 8 9 10 11 12 13 14 15 16 Quantity (Q) The graph above shows the supply and demand functions for a product produced in a small country in a perfectly competitive industry. The demand function is the sum of the demand functions of all the consumers in this country, the same as their marginal benefit functions. The supply function is the sum of the marginal-cost functions of all the firms in the industry. The government levies an excise tax of $8 per unit on this product. As a result, in the short run, the price paid by consumers will equal X dollars per unit while the price received by producers will be Y dollars per unit, where: C X = $22 & Y = $14 O X = $21 & Y = $13 O X = $24 & Y = $16 O X = $20 & Y = $12 None of the above