The demand for rutabagas is Q= 2,000 – 300P and the supply of rutabagas is Q =-100 + 100P. (10') Who bears the statutory incidence of a $2 per unit tax on the sale of rutabagas? (25') Who bears the economic incidence of this tax? Explain. Hint: you need to calculate the consumers' tax burden and producers' tax burden respectively.

The following graph represents the demand and supply for blinkies (an imaginary product). The black point (plus symbol) indicates the pre-tax equilibrium. Suppose the government has just decided to impose a tax on this market; the grey points (star symbol) indicate the after-tax scenario. PRICE (Dollars per blinkie) 26.00 18.00 10.00 Demand Result Per-unit tax B D F 33 U 20 E 36 QUANTITY (Blinkies) Complete the following table, given the information presented on the graph. $ Price consumers pay before tax $ Equilibrium quantity before tax Supply Value In the following table, indicate which areas on the previous graph correspond to each concept. Check all that apply. Concept Producer surplus after the tax is imposed Consumer surplus after the tax is imposed Tax revenue after the tax is imposed A U B 0 0 с 0 0 D 0 0 E 0 F 0 0

In the market for candy, researchers have estimated the following demand and supply curves.  Demand: P= 8 - Q/100 Supply:    P=  (3Q)/700 If the government imposes an excise tax of $0.50 per unit. What is tax revenue out of this tax? (Remember that the tax does not change the demand and supply curves).

PRICE (Dollars per pack) 50 45 TAX REVENUE (Dollars) 40 35 30 25 400 360 320 At this tax amount, the equilibrium quantity of cigarettes is government collects $ in tax revenue. 280 240 0 Suppose the government imposes a $10-per-pack tax on suppliers. 200 160 120 0 5 80 40 Supply Now calculate the government's tax revenue if it sets a tax of $0, $10, $20, $25, $30, $40, or $50 per pack. (Hint: To find the equilibrium quantity after the tax, adjust the "Quantity" field until the Tax equals the value of the per-unit tax.) Using the data you generate, plot a Laffer curve by using the green points (triangle symbol) to plot total tax revenue at each of those tax levels. 0 Demand Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. 10 15 20 25 30 35 40 45 50 QUANTITY (Packs) 5 True O False Graph Input Tool Market for Cigarettes Quantity (Packs) 10 15 20 25 30 TAX (Dollars per pack) Demand Price (Dollars per pack) Tax…

Can you also show on diagrams please?

answer just question d

iven the following information QD = 240-5P QS= P Where QD is the quantity demanded, Qs is the quantity supplied and P is the price. Suppose the government decides to impose a tax of $12 per unit on sellers in this market. Determine the deadweight loss of the tax

Use the graph to answer the following question: Which of the following statements is most true?  A) Producers will pay the entire tax.  B) Consumers will pay 1/3 of the tax.  C) Producers will pay 1/3 of the tax.  D) Consumers will pay the entire tax.

Assume the state of Alaska placed a tax on playing cards of 7 cents per pack. If the state generated $42630 in revenue, how many packs of cards were sold?

Doyle and Samphantharak (2008) find that when a 5% gas tax is implemented, prices consumers pay for gas increase by about 4%. What role does demand elasticity play in determining the size of this price change? That is, under what demand elasticity cases would the price change be closer to 5%, or closer to 0%? Illustrate and explain using supply-and-demand graph(s)..