Given the following information, Qd=240-5p and Qs=P. a.What is sellers reservation price? b.Buyers reservation price? c.Consumer surplus before tax. Producer surplus before tax.
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Given the following information, Qd=240-5p and Qs=P.
a.What is sellers reservation
b.Buyers reservation price?
c.Consumer surplus before tax.
Determine buyers price after tax of $12 per unit on sellers in the market.
Determine seller's price after tax.
Determine quantity after tax of $12.
Consumer surplus after tax.
Producer surplus after tax.
Tax revenue
Total surplus after tax
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- The market demand for a product is Q = 290 - 7P, and the market supply is Q = -90 + 12P (where Q is quantity and P is price). The elasticity of demand: -.90 The elasticity of supply: 1.20 Suppose the government imposes a $1.20 tax per unit. 1. Use the values for price elasticity of demand and supply to calculate the tax burden on consumers relative to suppliers (or producers). 2. What is the actual tax burden on suppliers? 3. What is the actual tax burden on consumers? 4. Calculate the deadweight loss of the tax, using only the price elasticity of demand and supply, the per-unit tax, and equilibrium price and quantity. Please do fast ASAP fastGiven the following information: QD= 240-5P QS= P Where QD is the quantity demand, QS is the quantity supplied and P is the price. Suppose the government decides to impose tax of $12 per unit on sellers in the market. Determine: Total Surplus after tax _____________.given the following information Qd=240 -5p and Qs= P Where Qd is the quantity demanded and Qs is the quantity supplied and P is the price. suppose the government decided to impose a tax of $12 per unit on the sellers in the market. Determine Demand and supply equation. Recheck consumer surplus calculation. Calculate Tax revenue, deadweight loss and total surplus after tax
- Given the following information: QD= 240-5P QS= P Where QD is the quantity demand, QS is the quantity supplied and P is the price. Suppose the government decides to impose tax of $12 per unit on sellers in the market. 1) Determine deadweight loss of tax 2) Determine total surplus after taxGiven the following information QD = 240 - 5P QS = p where QD is the quantity demand, QS is the quantity supplied and P is the price. Suppose that the government decides to impose a tax $12 per unit on sellers in this market. Determine: a) Demand and supply equation after tax b) Buyer's price after tax c) Seller's price after tax d) Quantity after tax e) Consumer surplus after tax f) Producer surplus after tax g) Tax revenue h) Deadweight loss of the tax i) Total surplus after taxGiven the following information: QD= 240-5P QS= P Where QD is the quantity demand, QS is the quantity supplied and P is the price. Suppose the government decides to impose tax of $12 per unit on sellers in the market. Determine: Tax revenue _____________.
- 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: SELLER’S RESERVATION PRICE BUYER’S RESERVATION PRICE EQUILIBRIUM QUANTITY BEFORE THE TAX EQUILIBRIUM PRICE BEFORE THE TAX DEMAND AND SUPPLY EQUATION AFTER THE TAX PLEASE ANSWER ALL QUESTIONS!Given the following information QD = 240 - 5P QS = p where QD is the quantity demand, QS is the quantity supplied and P is the price. suppose the government decides to impose a tax of $12 per unit on sellers in the market. Determine specifically; The buyer's price after tax? The seller's price after tax? Quantity after tax?The market for pizza is characterized by a downward sloping demand curve and an upward sloping supply curve. Suppose that the government forces each pizza house to pay a Php2 tax on each pizza sold. Illustrate the effect of this tax on the pizza market. Label the consumer surplus, producer surplus, government revenue, and deadweight loss. How does each area compare to the pre-tax case?
- Consider a market with the following demand and supply curves: Q (p) = 20 – 2P Q (p) = - 10 + 3P (b)Suppose the government imposed a sales tax of $0.80 per unit of output sold, find the price paid by the consumer, the price received by the supplier, the equilibrium quantity transacted, and the total tax revenue received by the government. (c)What do you think is the purpose for such tax policy? In your explanation, include a brief discussion of the importance of price elasticity of demand in the choice of commodities to be taxed in order to achieve specific policy goal(s).Suppose there is a market that has market demand characterized as X = 30P/3. Suppose further that market supply can be written as X = P/2 2. (A) Find the equilibrium price and quantity in this market. (B) If a unit tax of $16 is imposed on good X, what are the equilibrium price, quantity, and tax revenue in the market?(C) Suppose an ad valorem tax of 30 percent is imposed on good X. The after - tax demand equation would be X = 30 P/2. Now find the equilibrium price, quantity, and tax revenue in the market. (D) What can be said about the amount of tax revenue generated under each taxing scheme, and why?Given: Qd = 240 - 5P Qs = P Where Qd is the quantity demanded, Qs is the quantity supplied and P is the price. Suppose the government decides to impose a tax of $12 per unit on sellers in this market. Determine: A) The consumer surplus after tax B) The producer surplus after tax C) The tax revenue
