Andre Walks Julia's Dog Once a Day for $50 Per

question 125

Multiple Choice

Andre walks Julia's dog once a day for $50 per week.Julia values this service at $60 per week,while the opportunity cost of Andre's time is $30 per week.The government places a tax of $35 per week on dog walkers.Before the tax,what is the total surplus?

• A) $60
• B) $50
• C) $30
• D) $25

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