The demand curve for a bottle of wine in SLO is given by PD = 56 -0.6Q D and the supply curve is given by PS = 8 +0.2Q S . a) What is the dollar value of consumer surplus at the equilibrium? b) What is the dollar value of producer surplus at the equilibrium? c) If a $4 tax is imposed on wine sellers, what will be the resulting price paid by buyers and the resulting price paid by sellers? What share of the tax burden will fall on wine consumers? d) What is the dollar value of the deadweight loss from this tax?

18-19. In the competitive market for white sugar, consumer demand is given by P=100-0.050 and suppliers' behaviour is represented by the supply curve of P=1+0.005Q, where P is measured in dollars and Q is measured in kilos per month. Questions 17 through 19 refer to this market. 18. Imagine now that the government imposes a price ceiling of $5.00 per kilo on sugar, and that the ceiling is obeyed by all market participants. In the resulting equilibrium the total number of kilos of sugar exchanged in the market is equal to: A) 2100 G) 800 B) 2000 H) 600 A) $5 G) $70 C) 1900 I) 400 B) $10 H) $80 19. Suppose suppliers obey the price ceiling but consumers sell sugar on a black market. What will the black market price for sugar be? D) 1400 E) 1200 J) None of the above C) $10.50 I) $21 E) $50 F) 1000 D) $40 J) None of the above F) $60

Suppose the equations below represent the market supply and demand for cellular service. QD = 50 – 0.25P QS = 2P – 76 a.  Graph the supply and demand curves, and label the equilibrium quantity and price.    b.  Calculate the amount of Consumer Surplus and Producer Surplus in this market.  c. Suppose the government enacts a per-unit tax of $9 for each unit sold. Illustrate the effect of this tax in your graph of the market for cellular service, and calculate the new market price and quantity sold. d.  Calculate the amount of deadweight loss associated with this per-unit tax. e. Calculate the share of the tax burden that the sellers bear.  f. Briefly explain why there is a relationship between the slopes of the supply and demand curves, and the tax burden on each side of the market.

For years the government has subsidized higher education through grants; consider the demand and supply for college credit hours at a local private liberal arts collegeQD = 6,000 – 300PQS = 700P – 500 where P is the price, in hundreds of dollars, and Q is the number of credit hours per semester. Suppose the government subsidizes credit hours at a rate of $120 per hour. Calculate changes in consumer surplus. What is the size of the deadweight loss?

Consider a market where demand and supply satisfy the following equationsQd = 12 – 2 P,QS = 2P.a)Find the current equilibrium price and quantity. b)What is the total producer surplus if the market is in equilibrium? The government is considering a minimum price policy to increase producer surplus.c)Explain by means of graphs how the introduction of a price floor can increase producer surplus. d)Find the (optimal) price floor that maximizes producer surplus.   hi, can you answer part c and part d for this question please, thanks

supplu and demand equations: p= D(q)= 70-.2x p= S(q)=13+.004x^2 find equilibrium, consumer surplus and producer surplus.

267. Ubjectr : - Accounting