![-Refer to the figure above, which shows domestic supply and demand. If P<sub>1</sub> is equal to P<sub>2</sub> (the world price) plus a tariff, then the social loss from the tariff is equal to A) a + c B) b C) P<sub>1</sub> ( Q<sub>3</sub> - Q<sub>2</sub>) D) P<sub>2</sub> [(Q<sub>2</sub> - Q<sub>1</sub>) + (Q<sub>4</sub> - Q<sub>3</sub>) ] E) a + b + c](https://d2lvgg3v3hfg70.cloudfront.net/TB7488/11eac119_09c4_8abf_b69d_dfe215750e5c_TB7488_00_TB7488_00.jpg)
-Refer to the figure above, which shows domestic supply and demand. If P1 is equal to P2 (the world price) plus a tariff, then the social loss from the tariff is equal to
A) a + c
B) b
C) P1 ( Q3 - Q2)
D) P2 [(Q2 - Q1) + (Q4 - Q3) ]
E) a + b + c
Correct Answer:
Verified
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