supply for oranges in a perfectly competitive market Demand: P= 200-100 Supply: P=15Q a) Find the equilibrium price and quantity. Suppose the government imposes a tax of $10/unit of the good and decides to collect it from the sellers. b) Find the after-tax equilibrium price and quanity. c) Also find the burden of tax on consumer and producer.
supply for oranges in a perfectly competitive market Demand: P= 200-100 Supply: P=15Q a) Find the equilibrium price and quantity. Suppose the government imposes a tax of $10/unit of the good and decides to collect it from the sellers. b) Find the after-tax equilibrium price and quanity. c) Also find the burden of tax on consumer and producer.
Chapter4: Markets In Action
Section: Chapter Questions
Problem 15SQ
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