The market for plasticans is perfectly competitive. Market Supply is given by Q=5P and Market Demand is given by Q=373-3P. Each extra unit of plastican produced creates a positive externality of $6. Implement the optimal Pigouvian tax/subsidy that implements the efficient outcome. What is the Consumer Surplus in the equilibrium with the tax/subsidy?

Economics (MindTap Course List)
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Chapter30: Market Failure: Externalities, Public Goods, And Asymmetric Information
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The market for plasticans is perfectly competitive. Market Supply is given
by Q=5P and Market Demand is given by Q=373-3P. Each extra unit of
plastican produced creates a positive externality of $6. Implement the
optimal Pigouvian tax/subsidy that implements the efficient outcome.
What is the Consumer Surplus in the equilibrium with the tax/subsidy?

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