Consider a food  market for which quantities demanded and supplied at various prices provided below   price Demand Supply 10 0 8 8 2 6 6 4 4 4 6 2 2 8 0 1.Find the equilibrium price and quantity 2.If the Government imposes a tax of $2 what will be the new equilibrium price and quantity 3.Find the consumer and producer’s burden of Tax

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter5: Elasticity
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Consider a food  market for which quantities demanded and supplied at various prices provided below

 

price

Demand

Supply

10 0 8
8 2 6
6 4 4
4 6 2
2 8 0

1.Find the equilibrium price and quantity

2.If the Government imposes a tax of $2 what will be the new equilibrium price and quantity

3.Find the consumer and producer’s burden of Tax

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