correct answer is B. Suppliers will keep between 4 & 5 per gallon
When subsidy is applied in the market, consumer will pay between 3 than 4 and supplier will keep the the subsidy of 1 and the amount paid by consumers
So supplier will keep between 4 & 5
The fiqure shows the market for mik in Cowland that suppliers keep per gallon? a subsidy...
The figure above shows the market for milk in Cowland. A subsidy paid to producers of $1 per gallon of milk is introduced. If there are no external costs and no external benefits, the quantity of milk sold is A) less than the efficient level of output. B) greater than the efficient level of output. C) 100 million gallons greater than the efficient level of output. D) the efficient level of output.
In the market for televisions, the price of a television falls and nothing else changes. Price (dollars per television) Show the effect of this change o os Choose between the following Use the single arrow tool to draw an arrow on the demand curve showing the direction of movement along the line OR Use the line tool to draw a new demand curve Only one of the effects is correct, and you must determine which is the appropriate one to...