You have been recently employed as a consultant for a company that produces laptops in Ghana. Suppose the research department of the company have estimated the demand and supply curves of laptops and they are: 204 + 0.5P - 24 = 0 and 4Q, - 2P + 6 = 0 You are to use this information to a. Determine the equilibrium level of prices and quantity demand. b. Represent your answer graphically and determine the welfare of economic agents. e. Suppose the government imposes a tax of ¢4 on every laptop sold, determine the new equilibrium price and quantity.

You have been recently employed as a consultant for a company that produces laptops in Ghana. Suppose the research department of the company have estimated the demand and supply curves of laptops and they are: 204 + 0.5P - 24 = 0 and 4Q, - 2P + 6 = 0 You are to use this information to a. Determine the equilibrium level of prices and quantity demand. b. Represent your answer graphically and determine the welfare of economic agents. e. Suppose the government imposes a tax of ¢4 on every laptop sold, determine the new equilibrium price and quantity.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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