Consider the demand and supply for strawberries to be given by Qd =10-0.33P and Qs = -6 + P, and the government imposes per unit tax of $T, such that a total government revenue of $32 is generated at a new equilibrium price of $18. What is the amount of the per unit tax in this case? Select one. OA. $8. B. $1.77. C. $10. D. $12

Consider the demand and supply for strawberries to be given by Qd =10-0.33P and Qs = -6 + P, and the government imposes per unit tax of $T, such that a total government revenue of $32 is generated at a new equilibrium price of $18. What is the amount of the per unit tax in this case? Select one. OA. $8. B. $1.77. C. $10. D. $12

Principles of Economics, 7th Edition (MindTap Course List)

7th Edition

ISBN:9781285165875

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter8: Application: The Cost Of Taxation

Section: Chapter Questions

Problem 3QCMC

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