Suppose the supply is perfectly inelastic, which means the price elasticity of supply is 0. A government wants to introduce a new tax, Which of the following is true? Regardiess of who the tax is levied on, the price will increase. Consumers bear the burden of the tax. Regardiess of who the tax is levied on, the deadweight loss is equal to 0. O The tax will decrease the quantity traded in the market.

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A: Equilibrium quantityPD=PS100-2Q=50+3Q100-50=3Q+2Q5Q=50Q=505Q=10

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A: The correct Option is (A) That is the supply is more elastic than the demand

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A:

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A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: ANSWER E 2. The function of supply and demand for an item P = 14 - 2Q and P = 5 + 2Q. When against…

A: P = 14 - 2Q  P = 5 + 2Q Equilibrium, demand = supply: 14 - 2Q  = 5 + 2Q 4Q=9 Q=2.25 P = 9.5

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Q: i. Find the equilibrium price and quantity demanded and supplied before the tax. ii. Which of the…

A: We will answer only the first three parts, as no question number is mentioned here.

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A:

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A: Note:  We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

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A: Correct answer "supply; upward".

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A: Price elasticity of demand: It can be define as the ration of percentage change in quantity demanded…