The graph shows the market for backpacks. Price (dollars per backpack) 22- 20- 18- 16- 14- 12- 104 8 D 100 200 300 400 500 600 700 800 Quantity (backpacks per day) If a sales tax of $4 a backpack is imposed, calculate the tax burden. The tax burden is $ Type a day. That's incorrect. With a $4 tax on backpacks, the price paid by the buyer is $4 more than the price received by the seller. What is the quantity of backpacks bought and sold? What is the tax revenue? What is the excess burden? What is the tax burden?

The graph shows the market for backpacks. Price (dollars per backpack) 22- 20- 18- 16- 14- 12- 104 8 D 100 200 300 400 500 600 700 800 Quantity (backpacks per day) If a sales tax of $4 a backpack is imposed, calculate the tax burden. The tax burden is $ Type a day. That's incorrect. With a $4 tax on backpacks, the price paid by the buyer is $4 more than the price received by the seller. What is the quantity of backpacks bought and sold? What is the tax revenue? What is the excess burden? What is the tax burden?

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter20: Elasticity: Demand And Supply

Section: Chapter Questions

Problem 15E

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The graph shows the market for backpacks. Price (dollars per backpack) 22- 20+ 18- 16- 14- 12+ 10- 8- မှာ 0 100 S D 200 300 400 500 600 700 800 Quantity (backpacks per day) If a sales tax of $4 a backpack is imposed, calculate the tax burden. The tax burden is $ Type a day.
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How would I calculate the government revenue with a tax of $40 using this graph?
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GRAPH ($) Price 90 $90.00 80 70 60 50 $50.00 40 30 20 10 Surplus Measures off SETTINGS S Tax imposed on: Supply Demand Excise Tax (0-$20) Demand Perfectly Inelastic Supply 0.00 Reset Relatively Elastic Relatively Elastic Elastic Perfectly Elastic Perfectly stic D CALCULATIONS 0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 19.0 Quantity (thousands per week) Price Paid Quantity No Tax $50.00 4,000 With Tax $50.00 4,000
GRAPH ($) Price 90 $90.00 8288 288 2 80 70 60 50 40 30 20 10 0 $50.00 1.0 2.0 3.0 6.0 5.0 4.0 Surplus Measures 7.0 S 8.0 9.0 Off Quantity (thousands per week) 0 SETTINGS Tax imposed on: Excise Tax (0-$20) Demand Perfectly Inelastic Supply Less Elastic CALCULATIONS No Taxi With Tax Supply Relatively Elastic Perfectly Elastic Demand Price Paid $50.00 $50.00 0.00 Relatively Elastic Perfectly Elastic Quantity Reset 4,000 4,000 Instructions: Set demand relatively inelastic such that the X intercept of the demand curve is 6 thousand units (this corresponds to a vertical intercept of 150), supply relatively elastic such that the vertical intercept is $10, and there is no excise tax (set to $0). Use the Surplus Areas switch above the graph as needed.
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