BEFORE the imposition of the tax, the quantity traded in this market is [ Select ] the buyers pay ( Select ] and the sellers receive ( Select] AFTER the imposition of the tax, the quantity traded is (Select ) ; the buyers pay [ Select ] v and the sellers receive [ Select) BEFORE the imposition of the tax, consumer surplus was [ Select ] and producer surplus was ( Select] therefore, total surplus was [ Select ] AFTER the imposition of the tax, consumer surplus is. [Select ] producer surplus is ( Select] , government tax revenue is ( Select ] ; therefore, now the total surplus is ( Select ) and deadweight loss is [ Select ] The burden of the per unit tax on the buyers is ( Select ] The burden of the tax on the sellers is [ Select] Since the demand curve is ( Select] v the supply curve, the burden of the tax falls ( Select )

BEFORE the imposition of the tax, the quantity traded in this market is [ Select ] the buyers pay ( Select ] and the sellers receive ( Select] AFTER the imposition of the tax, the quantity traded is (Select ) ; the buyers pay [ Select ] v and the sellers receive [ Select) BEFORE the imposition of the tax, consumer surplus was [ Select ] and producer surplus was ( Select] therefore, total surplus was [ Select ] AFTER the imposition of the tax, consumer surplus is. [Select ] producer surplus is ( Select] , government tax revenue is ( Select ] ; therefore, now the total surplus is ( Select ) and deadweight loss is [ Select ] The burden of the per unit tax on the buyers is ( Select ] The burden of the tax on the sellers is [ Select] Since the demand curve is ( Select] v the supply curve, the burden of the tax falls ( Select )

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

P
Figure 8a
per unit
$2000
$1800
$1600
$1400
$1200
$1000
$800
$600
$400
$200
2
4
7
8
9.
10
Quantity
(in thousands)
Refer to Figure 8a which shows the supply and demand in the market for flat screen televisions.
The government imposes a $600 per unit tax on this market.

D
2
3
4
6
7
8
9
10
Quantity
(in thousands)
Refer to Figure 8a which shows the supply and demand in the market for flat screen televisions.
The government imposes a $600 per unit tax on this market.
BEFORE the imposition of the tax, the quantity traded in this market is
[ Select ]
the buyers pay [Select ]
and the
sellers receive [ Select]
AFTER the imposition of the tax, the quantity traded is (Select ]
; the buyers pay
[ Select ]
and the sellers receive
[ Select ]
BEFORE the imposition of the tax, consumer surplus was
[ Select ]
v and producer surplus was
[ Select ]
therefore, total
surplus was
[ Select]
AFTER the imposition of the tax, consumer surplus is. [ Select ]
, producer surplus is [ Select]
government tax revenue
is [ Select ]
; therefore, now the total surplus is [Select]
v and deadweight loss is [Select ]
The burden of the per unit tax on the buyers is [Select]
The burden of the tax on the sellers is [ Select ]
Since the demand curve is [ Select]
v the supply curve, the burden of the tax falls [Select ]

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question attached
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