Domestic Demand Function: p= 80-4Q Domestic Supply Function: p= 20+2.5Q There was an international trade world price of $30 and now it dropped to $20 how w
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Domestic
p= 80-4Q
Domestic Supply Function:
p= 20+2.5Q
There was an international trade world price of $30 and now it dropped to $20 how will that decline the
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- Suppose Home is a small exporter of wheat. At the world price of 100 US dollars per tonne, Home growers export 20 tons of wheat. Now suppose the Home government decides to support its domestic producers with an specific export subsidy of 40 US dollars per tonne. Explain why consumer and producer surplus can be used to gauge the change in welfare caused by the export subsidy on individuals and firms.In a competitive market in which P = 100 − 2Q is the inverse demand for fuel and P = 10 + Q is the inverse supply of fuel. Calculations are preferred, but you may use a graph for partial Without a tax, what is the market-clearing price and output, P and Q? What is the consumer surplus and producer surplus (with no tax) If a tax on fuel is set at $15, how much fuel will be purchased? You can assume that the buyers pay the tax (but it doesn’t matter). What is the deadweight loss of the tax? Thanks!Market demand for Mandrake roots is given by Q=325-4P and market supply is given by Q=5P. The government imposes a price ceiling of $10. What is the minimum Deadweight Loss, in absolute terms, because of the price ceiling? Assume competitive markets.
- Consider a market where supply and demand are given by QS =P-20 and QD =130-2P, respectively. Suppose the government imposes a price ceiling of £44. Calculate the deadweight loss as a result of this price ceiling.In a competitive market, the following supply and demand equations are given: Supply P = 5 + 0.36Q Demand P = 100 - 0.04Q, where P represents price per unit in dollars, and Q represents rate of sales in units per Year. 1. I. Determine the equilibrium price and sales rate. Determine the deadweight loss that would result if the government were to impose a price ceiling of £40 per unit.Algebraically, solve for the after tax equilibrium price and quantity in the corn market, if the government collects a specific tax of t=$2.40 from customers. The before-tax linear demand function for U.S. corn is given as Q=15.6-0.5p and the original supply curve is given as Q=9.6+0.25p. Please show with a diagram.
- In a closed economy, the demand and the supply function for a given commodity are QD =150-2p and QS = - 50+2p, respectively. Suppose that the government provides a subsidy equal to16 Euros per unit of quantity supplied. Determine the price the producers receive, the price the consumers pay, the total sales, and the cost to the taxpayers in the industry equilibrium with the subsidy.Market demand for Mandrake roots is given by Q=305-2P and marketsupply is given by Q=5P. The market is initially in equilibrium.The government imposes a price ceiling of $9. What is the CHANGE in Producer Surplus due to the price ceiling?Assume competitive markets.GIVEN THE FOLLOWING QD=240-5P QS=P WHERE QD IS THE QUANTITY DEMANDED, QS IS THE QUANTITY SUPPLIED AND P IS THE PRICE. SUPPOSE THAT THE GOVERNMENT DECIDES TO IMPOSE A TAX OF $12 PER UNIT ON SELLERS IN THIS MARKET DETERMINE: PRODUCER SURPLUS AFTER TAX QUANTITY AFTER TAX SELLER’S PRICE AFTER TAX BUYER’S PRICE AFTER TAX PLEASE ANSWER ALL QUESTIONS! THANKS
- Suppose the following demand and supply function of a commodity. 15 Qd = 55 - 5P Qs = -50 + 10P After imposing tax, the new supply function is Qs = -60 + 10P Find out the equilibrium price and quantity before tax.In an economy, a manufacturing company produces 1,000 units of a product at a total cost of $10,000. If the government imposes a tariff of $2 per unit on imported raw materials used in production, and the company is also subject to a corporate tax rate of 15%, calculate the new total cost of production after considering the cost of tariff and taxation. Assume no other costs are affected.Suppose demand for good X is given by QD = 900- 1/2P where p is the price and QD the quantity demanded. Supply is given by QS = 1/4P. a) Suppose 60 TL tax is imposed on each unit of X that is purchased. What are the equilibrium price and quantity of X after the tax is imposed?