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Llanis Llanis
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Posts: 626
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6 years ago
A per unit subsidy increases both consumer and producer surplus, but results in a deadweight loss.
True or False? Provide an explanation.
Textbook 
Microeconomics

Microeconomics


Edition: 6th
Author:
Read 57 times
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Replies
wrote...
6 years ago
True ... Because The government expenditure more than offset the gains to consumer and producer surplus resulting in a deadweight loss.
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