Consumer surplus-producer surplus-appropriate diagrams

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Consumer Surplus, Producer Surplus—Discuss with appropriate diagrams. a) Graphically demonstrate consumer surplus in the market for Butterfinger candy bars. b) The city of Springfield, USA levies a tax on Butterfinger bars to help pay for the onslaught injured skateboarders in the emergency trauma center. Apparently, Bart Simpson wannabes get a bit over confident in their boarding abilities and end up with physical trauma. Show what happens to consumer surplus as a result of this tax. c) Show what happens to producer surplus. d) Show the deadweight loss, if any?

Reference no: EM131393464

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