Suppose a Tax of $5 Per Unit Is Imposed on a Good

Multiple Choice

Suppose a tax of $5 per unit is imposed on a good, and the tax causes the equilibrium quantity of the good to decrease from 200 units to 100 units. The tax decreases consumer surplus by $450 and decreases producer surplus by $300. The deadweight loss from the tax is

A) $250.
B) $500.
C) $750.
D) $1,000.