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Suppose the market for potatoes can be expressed as follows:
Supply: Q to power of QS= -20 + 10p
Demand: Q to power of QD= 400 - 20p
a) If the government sets a price ceiling of $10 per unit,
i) What will be the quantity demanded and quantity supplied?
ii) What will be the producer surplus?
iii) What will be the consumer surplus?
iv) What will be the dead-weight loss, if any?
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