Question: Problem 1 (10 points) Using the graph, assume that the government imposes a $1 tariff on hammers. Answer the following questions given this information. Price

Problem 1 (10 points) Using the graph, assume that the government imposes a $1 tariff on hammers. Answer the following questions given this information. Price Domestic Supply $13 8 $1.00 Tariff World Price Domestic Demand 30 40 60 84 95 Quantity What is the domestic price and quantity demanded of hammers after the tariff is imposed? b ) What is the quantity of hammers imported before the tariff? c) What is the quantity of hammers imported after the tariff? d) What would be the amount of consumer surplus before the tariff? e) What would be the amount of consumer surplus after the tariff? What would be the amount of producer surplus before the tariff? What would be the amount of producer surplus after the tariff? What would be the amount of government revenue because of the tariff? i) What would be the total amount of deadweight loss due to the tariff

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