Homework Help is Here – Start Your Trial Now!
Business
Economics
a. What is the equilibrium price buyers pay directly to the sellers? b. After paying the tax, what is the total amount buyers pay per unit? $[ c. With the tax, what is the equilibrium quantity? units (Report your answer as a whole number without rounding) d. How much revenue does the government earn from the tax? $ (Round your answer to a whole number)

a. What is the equilibrium price buyers pay directly to the sellers? b. After paying the tax, what is the total amount buyers pay per unit? $[ c. With the tax, what is the equilibrium quantity? units (Report your answer as a whole number without rounding) d. How much revenue does the government earn from the tax? $ (Round your answer to a whole number)

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
See similar textbooks
icon
Related questions
Question

Please solve all the questions 

($) Price 90 $90.00 80 70 60 50 40 30 20 10 0 $50.00 1.0 2.0 3.0 4.0 9 S 5.0 6.0 7.0 8.0 9.0 c. With the tax, what is the equilibrium quantity? Quantity (thousands per week) units (Report your answer as a whole number without rounding) Taxiposal un d. How much revenue does the government earn from the tax? $ (Round your answer to a whole number) Exise Tax (0-$20) Demand Perfectly Inste Supply Bane CALCULATIONS No Tax With Tax Supply Revely lastic Perfectly c Demand Price Pla $50,00 $50.00 0.00 Relatively Fat Perfectly Elaine Quantity Instructions: Set demand relatively inelastic such that the X Intercept of the demand curve is 6 (this corresponds to a vertical intercept of 150), supply relatively elastic such that the vertical intercept is $10, and impose a $11.00 excise tax on buyers. a. What is the equilibrium price buyers pay directly to the sellers? $[ b. After paying the tax, what is the total amount buyers pay per unit? $[ 4.000 4,000 13
Transcribed Image Text:($) Price 90 $90.00 80 70 60 50 40 30 20 10 0 $50.00 1.0 2.0 3.0 4.0 9 S 5.0 6.0 7.0 8.0 9.0 c. With the tax, what is the equilibrium quantity? Quantity (thousands per week) units (Report your answer as a whole number without rounding) Taxiposal un d. How much revenue does the government earn from the tax? $ (Round your answer to a whole number) Exise Tax (0-$20) Demand Perfectly Inste Supply Bane CALCULATIONS No Tax With Tax Supply Revely lastic Perfectly c Demand Price Pla $50,00 $50.00 0.00 Relatively Fat Perfectly Elaine Quantity Instructions: Set demand relatively inelastic such that the X Intercept of the demand curve is 6 (this corresponds to a vertical intercept of 150), supply relatively elastic such that the vertical intercept is $10, and impose a $11.00 excise tax on buyers. a. What is the equilibrium price buyers pay directly to the sellers? $[ b. After paying the tax, what is the total amount buyers pay per unit? $[ 4.000 4,000 13
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Equilibrium Point
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Recommended textbooks for you
ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
Economics
ISBN:
9780190931919
Author:
NEWNAN
Publisher:
Oxford University Press
Principles of Economics (12th Edition)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS