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Business, 19.09.2019 21:20 ehklu1226

Suppose the demand and supply curves for units of university credits are given by the following equations: qd = 5,000 – p qs = –1,000 + 4p where qd is the quantity of credits demanded, qs is the quantity supplied, and p is the price charged for each unit in dollars. suppose that the government wants to make education more accessible and therefore passes a regulation that says no university can charge more than $1,000 per credit. calculate the deadweight loss associated with this price ceiling.

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