Question 16 Suppose the market demand for a good takes the form: Q=100-2P X and market supply takes the form: Q=-50+3P Suppose a $5 per unit tax is applied to sellers in the market. What is producer surplus after the tax? Selected Answer: 1875 Question 17 Suppose the market demand for a good takes the form: =100-2P and market supply takes the form: Q=-50+3P Suppose a $5 per unit tax is applied to sellers in the market. What is total surplus after the tax? Selected Answer: 2750 Question 18 Suppose the market demand for a good takes the form: Q=100-2P and market supply takes the form: Q=-50+3P Suppose a $5 per unit tax is applied to sellers in the market. What is the deadweight loss from the tax? (Hint: calculate directly, using too many rounded values may lead to an inaccurate answer) Selected Answer: 37.5

Question 16 Suppose the market demand for a good takes the form: Q=100-2P X and market supply takes the form: Q=-50+3P Suppose a $5 per unit tax is applied to sellers in the market. What is producer surplus after the tax? Selected Answer: 1875 Question 17 Suppose the market demand for a good takes the form: =100-2P and market supply takes the form: Q=-50+3P Suppose a $5 per unit tax is applied to sellers in the market. What is total surplus after the tax? Selected Answer: 2750 Question 18 Suppose the market demand for a good takes the form: Q=100-2P and market supply takes the form: Q=-50+3P Suppose a $5 per unit tax is applied to sellers in the market. What is the deadweight loss from the tax? (Hint: calculate directly, using too many rounded values may lead to an inaccurate answer) Selected Answer: 37.5

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Given the following information: QD= 240-5P QS= P Where QD is the quantity demand, QS is the quantity supplied and P is the price. Suppose the government decides to impose tax of $12 per unit on sellers in the market. Determine: Consumer surplus after tax _____________.
Given a demand curve of P = 92 - 2Q and a supply curve of P = 2 + Q, with a tax of 60, solve for the resulting quantity.
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Question: You have the following information from the market Demand function: QD=270-5P Supply function: QS=-70+5P Submit answers in two decimal places if you get answers in decimals/fractions 1.What is the economic cost of the sellers? 2.Government has imposed a tax regulation of 5 taka. Assume that buyers and sellers both share the tax burden equally. 3.What is the consumer surplus after tax? 4.What is the producer surplus after tax? 5.What is the tax revenue?
18. Suppose that corporate income tax in Japan is 30% for large enterprises. And one of them is Nissan Japan. Assume that Nissan Japan places its electric vehicles (EV) factory in California, USA by setting up Nissan America. California charges enterprises with a 10% corporate (flat) income tax rate. Suppose the demand of Nissan EV in Japan is p=220-2Q (p: price in one hundred thousand yen, Q is number of EV per week). Costs of transporting EV cars from California to Japanese customers and taxes and fees related to export-import activities are assumed to be zero. Its production cost in California is constant at 20 per unit. If Nissan American sells EVS produced in California to Nissan Japan at its production cost, what are the combined net profits of all Nissans and total corporate income tax the Nissan Japan has to pay (per week)? (Note: Nissan Japan will use the transfer price as its marginal cost.) ONet profit=5000; Sum of corporate tax=1500 Net profit=3500; Sum of corporate…
Answer is 10,786.8
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