If the world price is still 50 per barrel of oil and the us


Let's say the U.S. has the following supply and demand curves for oil where quantity is measured in millions of barrels of oil and price is measured as price per barrel of oil:
Supply: Qs = (1/5)P

Demand: Qd = 30 - (1/10)P

If the world price is still $50 per barrel of oil and the U.S. instead institutes a quota (a limit on the quantity imported) of barrels of 9 million barrels, what are the new consumer surplus, producer surplus, license holder revenue and deadweight loss?

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Econometrics: If the world price is still 50 per barrel of oil and the us
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