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-(Figure: The Market for Laptops) Use Figure: The Market for Laptops.Assume that S and D are the domestic supply and demand curves,respectively,and the world price is P_W.Identify the area of deadweight loss when a tariff raises the domestic price from the world price to P_T.

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-(Figure: The Market for Laptops) Use Figure: The Market for Laptops.Assume that S and D are the domestic supply and demand curves,respectively,and the world price is P_W.Identify the area of deadweight loss when a tariff raises the domestic price from the world price to P_T.

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The deadweight loss from a tariff is represented by the areas of the triangles that show the loss in consumer and producer surplus that is not offset by the tariff revenue. In this case, it is the areas D and F.

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