Suppose you have the information shown in the table below about the quantity of a good that is supplied and demanded at various prices. Price ($) Qd Qs 50 180 45 10 160 40 20 140 35 30 120 30 40 100 25 50 80 20 60 60 |15 70 40 |10 80 20 90 The supply curve is represented by the equation P = 5 + 0.25Q, and the demand curve by P = %3D 50 - 0.5Q.
Suppose you have the information shown in the table below about the quantity of a good that is supplied and demanded at various prices. Price ($) Qd Qs 50 180 45 10 160 40 20 140 35 30 120 30 40 100 25 50 80 20 60 60 |15 70 40 |10 80 20 90 The supply curve is represented by the equation P = 5 + 0.25Q, and the demand curve by P = %3D 50 - 0.5Q.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
Suppose the government imposes a $15 per unit tax on sellers of this good.
a) Fill in the table attached and show your work.
b) After the tax state whether the

Transcribed Image Text:Suppose you have the information shown in the table below about the quantity of a good that
is supplied and demanded at various prices.
Price ($)
Qd
Qs
50
|180
45
|10
160
40
20
|140
35
30
120
30
40
100
25
50
80
20
60
60
15
70
|10
80
20
90
The supply curve is represented by the equation P = 5 + 0.25Q, and the demand curve by P =
%3D
50 - 0.5Q.
40
LO

Transcribed Image Text:Equilibrium (Before Tax)
After Tax
Consumer Surplus
$
$
Producer Surplus
|Government Revenue
Total Surplus
$
$
%24
%24
%24
%24
%24
%24
%24
Expert Solution

Step 1
Consumer surplus=
Producer surplus=
Total Surplus= Consumer surplus + Producer surplus
Government Revenue=
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