ven though there are only a few countries supplying this product, in the beginning (that is, here in Question 5) the countries act like competitors and arrive at a competitive equilibrium.

• Using your market graph, with the Supply and Demand as shown above, graphically depict the equilibrium market price and quantity (P₀andQ₀respectively).
• Graphically indicate the size of Consumer Surplus (CS₀) and Producer Surplus (PS₀) as well as Deadweight Loss (DWL₀) if there is any.
• In a short narrative, explain in your own words the concepts of Consumer Surplus (CS) and Producer Surplus (PS).