Figure 4-25 Price P3 B C P1 Tax E P2 F H. Quantity Q2 Refer to Figure 4-25 4-25.png. The benefit to the government of imposing the tax is O measured by tax revenue and is represented by area A + B. O measured by tax revenue and is represented by area B+ D. O measured by the net gain in total surplus and is represented by area D + E. O measured by the net gain in total surplus and is represented by area B+ D.

#25, #26, #27

1. Consider the market for candy bars given below. Suppose that the government imposes a tax of $2 per candy bar in this market. Show on the graph and calculate the following: Price 5 $4.50 $4 $3.50 Supply 53 $2.50 $2 $1.50 $1 Demand S0.50 400 800 1200 1600 2000 2400 2800 3200 3600 4000 Candy Bars A. The quantity the market will produce with the tax. B. The government revenue from the tax. C. The deadweight loss from the tax. D. The consumer surplus with the tax. E. The producer surplus with the tax.

Consumer and Producer surplus Stax P $100 $70 $50 $45 $X $5 D 40 60 Assume an excise tax that has caused a decrease in Supply as shown on the graph above Show all work. а. How much is the tax per- unit b. How much is the value of X (intercept of the green line). How do you describe what that value is? C. How much is the consumer surplus before the tax? d. How much is producer surplus before the tax? е. How much is the consumer surplus after the tax? f. How much is producer surplus after the tax? g. How much is the deadweight loss as a result of the tax

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The market supply and demand for a product are shown in the diagram below. Now supose the government imposes a per-unit tax of $1 on producers. (i) What happens to total revenue received by producers after they pay the tax to the government? Explain. (ii) Will producer surplus increase, decrease, or stay the same? (iii) Will total surplus increase, decrease, or stay the same? Explain.

7.7 pleaase explain

Question 14 In the long run, both supply and demand tend to become more elastic. This suggests that, in the long run, the government will likely reduce tax rates. deadweight loss from a tax will be less than it is in the short run. deadweight loss from a tax will be greater than it is in the short run. deadweight loss from a tax will be zero. O revenue generated from the tax will increase.

1. The demand for the product S is Q = 500 – 8P and its supply is Q = 200 + 4P. The good is currently untaxed, but the government needs to raise tax by taxing per unit of the good. a. Calculate excess burden for the product S. b. Calculates marginal excess burden for the product S? %3D The exact amount of the tax is not specified.

If there is a $3 tax, what is the equilibrium price buyers pay, the price sellers receive,  and the quantity?  If there is a $3 tax, what is the CS, PS, tax revenue, TS, and deadweight loss? Include  graph!