The supply function for a product is given by, Qs = 3P - 4. A unit tax( t) is then imposed on the supplier. The new supply function becomes P= 0.333Q +1.333+t P= 0.333Q +1.333 t -0.3330+1.333 - t P=- 0.3330 +1.333+t

The supply function for a product is given by, Qs = 3P - 4. A unit tax( t) is then imposed on the supplier. The new supply function becomes P= 0.333Q +1.333+t P= 0.333Q +1.333 t -0.3330+1.333 - t P=- 0.3330 +1.333+t

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Lesson 11 Question 1
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