3. If we know that the market equilibrium price is $45 and the equilibrium quantity is 3, check whether the market equilibrium yields the optimal welfare in the market. 4. If the government intervenes in the market, what is the effect of this intervention on the optimal welfare in the market?

3. If we know that the market equilibrium price is $45 and the equilibrium quantity is 3, check whether the market equilibrium yields the optimal welfare in the market. 4. If the government intervenes in the market, what is the effect of this intervention on the optimal welfare in the market?

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter4: Prices: Free, Controlled, And Relative

Section: Chapter Questions

Problem 2WNG

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