Price Control $(2$ points$)$

Consider a perfectly competitive market for wine. Its demand, supply and some important points

are shown here:

Now government imposes a price floor of $$4,$ what is the new quantity and the deadweight loss

resulting from this price floor? You do not need to show any calculation $-$ just give the answer. $(1$

point each$)$

New quantity $=.$

Deadweight loss $=$Consider a perfectly competitive market for wine. Its demand, supply and some important points

are shown here:

Now government imposes a price floor of $$4,$ what is the new quantity and the deadweight loss

resulting from this price floor? You do not need to show any calculation $$ just give the answer. $(1$

point each$)$

New quantity $=\_\_\_\_\_\_\_\_\_\_\_\_\_$

Deadweight loss $=\_\_\_\_\_\_\_\_\_\_\_\_$