Question: support program in place. Suppose with the support in place the government purchases the excess and stores it at no cost. Assume a, b, c,

support program in place. Suppose with the support in place the government purchases the excess and stores it at no cost. Assume a, b, c, d, e, f, g, h, i, and j refer to areas on the graph. Price ($/kg) a Govt. Purchase S Ps b d PE f g e D h Qo QE Q1 Quantity (kg) A) If the price support is implemented what is the change in the quantity supplied in the market? (include +/-) B) What is the change in producer surplus as a result of the price support implementation? (Include + /-)

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