Suppose prices are Px = 2.5, Py = 5 and income is m = 215. The government taxes the consumer an extra $0.5 for each unit of xif she buys beyond 50 units. If the consumer spends all of her money on good x, how many goods x will the consumer get after tax (good x purchased after 50 units)?

Suppose prices are Px = 2.5, Py = 5 and income is m = 215. The government taxes the consumer an extra $0.5 for each unit of xif she buys beyond 50 units. If the consumer spends all of her money on good x, how many goods x will the consumer get after tax (good x purchased after 50 units)?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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