Sammy has a drone that he values at 1,500. Dean values the same ...

[jhjkgdfhk]

Sammy has a drone that he values at 1,500. Dean values the same drone at 2,000. Sammy decides to sell the drone to Dean for 1,800. The government offers a subsidy of 800 to the buyers of drones.
 
  Producer surplus is ________ and consumer surplus is ________. A) 300; 200
  B) 300; 1,000
  C) 1,100; 800
  D) 1,100; 600

Question 2

If the federal government imposes a new tax on golf clubs, that tax
 
  A) encourages people to take up golf.
  B) encourages people to buy more golf balls.
  C) encourages fewer people to play golf.
  D) discourages people from switching from playing tennis to playing golf.

[jjorrostieta]

Answer to Question 1

B

Answer to Question 2

C

[jhjkgdfhk]

YES! Correct, THANKS for helping me on my review

[recede]

TYSM