Demand: D(p) = q= 182 – 12p and Supply: S(p) = q= 45 + 14p %3D a.) Assume there are no taxes imposed. Find the equilibrium price and quantity. Equilibrium Price (Round your answer to the nearest cent) 5.27 Equilibrium Quantity (Round your answer to the nearest whole number) 119 b.) Assume there is a 15% tax on the consumer, find the new equilibrium price and quantity. New equilibrium price (Round your answer to the nearest cent) Equilibrium Quantity (Round your answer to the nearest whole number) c.) What portion of the tax is paid by the consumer? (Round to the nearest cent) d.) What portion of the tax is paid by the producer? (Round to the nearest cent) e.) What is the total tax is paid to the government? (Round to the nearest cent)
Demand: D(p) = q= 182 – 12p and Supply: S(p) = q= 45 + 14p %3D a.) Assume there are no taxes imposed. Find the equilibrium price and quantity. Equilibrium Price (Round your answer to the nearest cent) 5.27 Equilibrium Quantity (Round your answer to the nearest whole number) 119 b.) Assume there is a 15% tax on the consumer, find the new equilibrium price and quantity. New equilibrium price (Round your answer to the nearest cent) Equilibrium Quantity (Round your answer to the nearest whole number) c.) What portion of the tax is paid by the consumer? (Round to the nearest cent) d.) What portion of the tax is paid by the producer? (Round to the nearest cent) e.) What is the total tax is paid to the government? (Round to the nearest cent)
Microeconomics: Principles & Policy
14th Edition
ISBN:9781337794992
Author:William J. Baumol, Alan S. Blinder, John L. Solow
Publisher:William J. Baumol, Alan S. Blinder, John L. Solow
Chapter6: Demand And Elasticity
Section: Chapter Questions
Problem 3TY
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B-C-D-E
![Consider the following demand and supply functions.
Demand: D(p) = q = 182 – 12p and Supply: S(p) = q = 45 + 14p
a.) Assume there are no taxes imposed. Find the equilibrium price and quantity.
Equilibrium Price (Round your answer to the nearest cent) 5.27
Equilibrium Quantity (Round your answer to the nearest whole number) 119
b.) Assume there is a 15% tax on the consumer, find the new equilibrium price and quantity.
New equilibrium price (Round your answer to the nearest cent)
Equilibrium Quantity (Round your answer to the nearest whole number)
c.) What portion of the tax is paid by the consumer? (Round to the nearest cent)
d.) What portion of the tax is paid by the producer? (Round to the nearest cent)
e.) What is the total tax is paid to the government? (Round to the nearest cent)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F95ac71b3-a3f6-4e94-9dff-fd2fbab77b50%2F060d65ce-3f1c-471a-a495-4fa0a1e62ca9%2F33uicvi_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Consider the following demand and supply functions.
Demand: D(p) = q = 182 – 12p and Supply: S(p) = q = 45 + 14p
a.) Assume there are no taxes imposed. Find the equilibrium price and quantity.
Equilibrium Price (Round your answer to the nearest cent) 5.27
Equilibrium Quantity (Round your answer to the nearest whole number) 119
b.) Assume there is a 15% tax on the consumer, find the new equilibrium price and quantity.
New equilibrium price (Round your answer to the nearest cent)
Equilibrium Quantity (Round your answer to the nearest whole number)
c.) What portion of the tax is paid by the consumer? (Round to the nearest cent)
d.) What portion of the tax is paid by the producer? (Round to the nearest cent)
e.) What is the total tax is paid to the government? (Round to the nearest cent)
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