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Consider a market where supply and demand are given by st =16 + px and de = 92 - zpx suppose the governmentimposes a price floor of s40, and agrees to purchase any and all units consumers do not buy at the floor price of $40 perunita. determine the cost to the government of buying firms' unsold units. b. compute the lost social welfare (deadweig ht loss) that stems from the $40 price floor.
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Consider a market where supply and demand are given by st =16 + px and de = 92 - zpx suppose the gov...
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