Suppose the market demand function for ice cream is Q^d=10-2P and the market supply function for ice cream is Q^s=4P-2, both measured in millions of gallons of ice cream per year. Suppose the government imposes a $0.50 tax on each gallon of ice cream. The aggregate surplus with the tax is A) $6.20 B) $8.80 C) $2.68 D) $8.96

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The Answer of Suppose the market demand function for ice cream is Q^d=10-2P and the market supply function for ice cream is Q^s=4P-2, both measured in millions of gallons of ice cream per year. Suppose the government imposes a $0.50 tax on each gallon of ice cream. The aggregate surplus with the tax is A) $6.20 B) $8.80 C) $2.68 D) $8.96

Suppose the Market Demand Function for Ice Cream Is Qd=10-2P

Suppose the Market Demand Function for Ice Cream Is Q^d=10-2P