Assume an excise tax of $130 per-unit tax has resulted in a decrease in Supply as shown on the graph above. Show all your work. a. How much is the value of X (intercept of the green line). How do you describe what that value is? b. How much is the consumer surplus before the tax? c. How much is producer surplus before the tax? d. How much is the consumer surplus after the tax? e. How much is producer surplus after the tax? f. How much tax revenue was raised by the government as a result of this taxation g. How much is the deadweight loss as a result of the tax

Q: The following graph represents the demand and supply for pinckneys (an imaginary product). The black…

A: Consumer surplus shows consumer ability to pay for any good and producer surplus shows producer’s…

Q: Figure #3: The graph below represents a $10 per unit tax on a good then the amount bought and sold…

A: Producer Surplus is the difference between how much a customer willing to accept for the given…

Q: The diagram below shows supply and demand diagrams (S and D) for some product. The government then…

A:

Q: 3. The market supply and demand for a product are shown in the diagram below. $10 $6 Supply Demand…

A: a) The price elasticity of supply is a horizontal curve meaning it is perfectly elastic.

Q: (d) For the market for cigarettes with the tax indicate Price received by producers Quantity of…

A: We have given the graph depicting the market for cigarettes.  Initial equilibrium occurs at the…

Q: Which of the following is the unit tax?A. $0.45B. $0.50C. $1.00D. $1.50E. $2.00

A: The supply curve i.e. Supply and demand curve indicates that the Equilibrium quantity is Q and…

Q: Question 2c - part 1 Given the following information Qo = 240 - 5P %3D Qs = P %3D where Qp is the…

A: The equilibrium is found where the demand(dd) and supply(ss) cut each other. Graphically,

Q: 15 Price $ 10 5 10 Quantity (gallons)

A: In a market, government receives a tax revenue equals to the multiplication of tax rate and quantity…

Q: Question 10

A: When $3 per unit tax is imposed on the product, the initial supply will reduce and the supply curve…

Q: 1-The excess burden of a tax refers to: Select one: a. how much producers lose in surplus from the…

A: In financial matters, tax incidence or tax burden is the impact of a specific tax on the…

Q: the tax of $6 per unit ,the price that consumers will pay is $10 and quantity sold is Q=20…

A: the tax of $6 per unit ,the price that consumers will pay is $10 and quantity sold is Q=20

Q: Suppose the market for grass seed (p is the price of grass seed) can be expressed as Demand: QD =…

A: Supply: It is the total amount of goods or services available to consumers.

Q: 1. Understanding the implications of taxes on welfare The following graph represents the demand and…

A: Equilibrium without tax in the market occurs at the intersection of demand and supply.

Q: a subsidy is the opposite of a tax. with a $500 tax on the buyers of laptops, the government…

A: As government provides subsidy of $500 to the buyers, the demand curve shifts to the right from D to…

Q: Due to imposing a sugar tax, who would likely suffer a greater share of the deadweight loss – the…

A: Taxes are unintended fees placed on individuals or companies and levied by a government agency –…

Q: Consumer and Producer surplus Stax P $500 $200 $120 $X $50 D 80 150 Q Assume an excise tax of $130…

A: The supply would shift after tax by the amount of tax i.e., by 130. Therefore the value of X…

Q: The demand and supply equations for a product are: Q= 300 — 6P and Q.= -40 + 6P. Determine the…

A:

Q: Consumer and Producer surplus Stax P $100 $70 $50 $45 $X $5 40 60 Q Assume an excise tax that has…

A: Hey, Thank you for the question. According to our policy we can only answer up to 3 sub parts per…

Q: A government decides to reduce air pollution by reducing the use of petrol and imposes a specific…

A:

Q: PROBLEM (5) The government introduces a subsidy s = $30 per unit of the good sold and bought in a…

A: please find the answers below.

Q: Figure 8-6 The vertical distance between points A and B represents a tax in the market. Price 22 k…

A: Consumer Surplus when there is no tax = 1/2*(22-10)*600 = 300*12 = 3600 Consumer Surplus when there…

Q: 15- 14 13 12 11 10- 9- 7. 6- Price Supply Demand 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85…

A: Hi! Thank you for the question, As per the honor code, we are allowed to answer three sub-parts at a…

Q: Figure 4-10 S2 B D Quantity Refer to Figure 4-10. The accompanying graph shows the market for a good…

A: The tax revenue is the amount generated by imposing some kind of tax on goods and services.

Q: The figure below shows market demand, social demand and market supply. What is the optimal per-unit…

A: "Market equilibrium occurs at a point where market demand intersects market supply. But with…

Q: ewenseal Figure 4-9 S2 $1.40 S, 1.20 1.00 D 90 100 Quantity (billions of gallons) Refer to Figure…

A: From the figure: Initially market runs at point b where equilibrium price is $1.20 and equilibrium…

Q: Fuppose the government implements a $5 dollar per unit sales tax. i. Calculate the new quantity and…

A: Since the Part d is containing 4 subparts so as per answering guidlines, only d part will be solved.…

Q: Demand function: 2QX=2200-PX Supply function : Qx = -300 +3 Px Sales tax per unit : 150 Calculate…

A: A .  Pre tax Total surplus  = 945,000 where  CS = 810,000 ; PS = 135,000   Post tax total surplus  =…

Q: What happens to consumer and producer surplus when the sale of a good is taxed? How does the…

A: Consumer and Producer surplus The consumer surplus  basically refers to the difference between what…

Q: Hey! so I am just so confused on how to draw this graph. we were kicked out of school before we got…

A: Hey, since there is multiple question posted, we will answer first question.  If you want any…

Q: If the demand and supply curve for computers is: D = 200 - 5P,    S = 40 + 3P Where P is the price…

A: Incidence of tax on a product decreases both the demand and supply for the product. However this…

Q: 24 22- 20 16- 14+ Supply 12- 10+ D F G H J 6+ 4 L Demand 2+ + > 4 8. 10 12 14 16 One effect of the…

A: tax reduces the quantity sold from 8 to 4 as a result both producer and consumer surplus decreases.…

Q: TAX ON SELLERS WORKSHEET Below, you are provided with the demand and supply curves for burritos. You…

A: Demand for a commodity is the desire backed by ability and willingness of the consumer to pay for…

Q: Below, you are provided with the demand and supply curves for burgers. You will use this information…

A: Hi Student, Thanks or posting the question. As per the guideline, we are providing answer for the…

Q: Given, the total surplus in the market is 1680 pounds. You know that the consumer surplus in the…

A: The market price is determined at a point where the market demand curve intersect the market supply…

Q: 1. How will the unit subsidy affect the consumer surplus? Calculate the change in consumer surplus…

A: Consumer surplus: It refers to the surplus that is gained by the consumers. The consumers will try…

Q: Suppose that a buyer values a house at $240,000 and a seller at $200,000. Choose a price that both…

A: Since the question you have posted consists of multiple parts, we will answer the first three parts…

Q: Question 1 In the market for swim suits, demand is P = 58 - 0.011Q and supply is P = 5 + 0.009Q. The…

A: When the tax is imposed whether on buyers or sellers, it decreases quantity traded in the market.…

Q: The following graph represents the demand and supply for pinckneys (an imaginary product). The black…

A: Consumer surplus is the difference between what the consumer is willing to pay and the amount what…

Q: 34. The graph below shows a demand curve before and after a tax. Because the tax raises the price of…

A: According to the given graph,  Initial quantity is 45 Quantity after tax is 40 Initial price is $11…

Q: 3. Use the graph and the inverse demand equation (P=50 - .5Q), inverse supply equation (P=0.333Q)…

A: The inverse demand equation is given as: P=50 - .5Q Where P is the price of the good and Q is the…

Q: image attached

A: Consumer surplus refers to the difference between the total amount a consumer willing to pay and the…

Q: Find and graph the Post Tax Consumer Surplus, Producer Surplus Tax Revenue, and Deadwelght Loss…

A: When a tax is imposed, the price for the consumers rises and the price for the sellers falls. The…

Q: (b) Calculate the consumer surplus before the tax. Answer: (c) Calculate the producer surplus before…

A: In a market, consumer Surplus and producer surplus provide information about the gain of market…

Q: Draw a supply-and-demand diagram of the market for beer without the tax. Show the price paid by…

A: Equilibrium is attained in the market where the demand and supply intersect each other.

Q: Demand of product X = 2 P = 2000 - 4 Q Supply of product X = P = 100 + 3 Q Sales tax per unit = $…

A: "Since you have posted a question with multiple sub-parts, we will solve the first three subparts…

Q: In a market without taxes, consumer surplus is $100, and producer surplus is $200. After the…

A: In a market, when government intervenes, any gain or loss of the government will also be included in…

Q: Question 2 i) Given the following information QD =240-5p QS =p Where QD is the quantity…

A: Demand(D) curve shows a negative-relationship between price(p) and quantity(Q) i.e. when price(p)…