A subsidy is inefficient because it causes units with a _ _ _ _ _ _ to be produced and _ _ _ _ _ _ DWL loss. A. marginal cost greater than marginal benefit; eliminates B. marginal cost less than ma If the marginal propensity to consume is 0.75, what is the ...
How do you calculate the value of producer surplus, consumer surplus, and gains from trade, when the market is in equilibrium? What happens to consumer and producer surplus after a rent control is established? Do they increase or decrease? Explain. What happens to total welfa...