Figure 8-11 -Refer to Figure 8-11. Suppose Q1 = 4; Q2 =

question 501

Multiple Choice

Figure 8-11
-Refer to Figure 8-11. Suppose Q1 = 4; Q2 = 7; P1 = $6; P2 = $8; and P3 = $10. Then, when the tax is imposed,

• A) consumer surplus decreases by $13.
• B) producer surplus decreases by $13.
• C) the deadweight loss amounts to $6.
• D) the amount of the good that is sold remains unchanged.

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