Figure 9-24
The following diagram shows the domestic demand and supply in a market. Assume that the world price in this market is $20 per unit.
-Refer to Figure 9-24. Suppose the government imposes a tariff of $10 per unit. The deadweight loss caused by the tariff is

Question

Figure 9-24
The following diagram shows the domestic demand and supply in a market. Assume that the world price in this market is $20 per unit. 
-Refer to Figure 9-24. Suppose the government imposes a tariff of $10 per unit. The deadweight loss caused by the tariff is

Quizplus · Accepted Answer

The deadweight loss from a tariff is the sum of the losses in consumer and producer surplus that are not offset by gains in government revenue. It is typically represented by the area of two triangles on a supply and demand graph. The exact calculation would depend on the specific details of the graph in Figure 9-24, but based on the options provided, $50 is the most likely correct answer for the deadweight loss.

Figure 9-24 the Following Diagram Shows the Domestic Demand and Supply in Supply