EBK INTERMEDIATE MICROECONOMICS AND ITS
12th Edition
ISBN: 9781305176386
Author: Snyder
Publisher: YUZU
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Chapter 9.10, Problem 1TTA
To determine
To describe: The effect of applying per unit tax on tobacco companies as against the fixed revenue tax.
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If the pre-tax cost function for John's Shoe Repair is
C(q) = 150+10g-2q² +0.333q³
and it faces a specific tax of $20, what is the profit-maximizing condition if the market price is p? Can you solve for a single, profit-maximizing q in terms of p?
The proft-maximizing quantity in terms of p is
q=(Property format your expression using the tools in the palette. Hover over tools to see keyboard shortcuts. E.g., a fraction can be created with the /
character.)
The annual demand for liquor in a certain state is given
by the following equation: QD=500.000-20.000P where
Pis the price per gallon and QD is the quantity of gallons
demanded per year. The supply of liquor is given by the
equation Qs=30.000P. Now assume that a unit tax of 1$
is levied on the sellers of the commodity (i.e. statutory
incidence is on the producers).
(e) What is the government's tax revenue?
(f) Determine how much of the total tax is actually paid by th
(g) Determine how much of this total tax is actually paid by t
(h) Compute the social welfare loss(i.e., dead-weight loss)
tax.
If the pre-tax cost function for John's Shoe Repair is C(q)=100+10q-q^2+1/3q^3, and it faces a specific tax of t=10, what is the profit-maximizing condition if the market price is p? Can you solve for a single, profit maximizing q in terms of p?
Chapter 9 Solutions
EBK INTERMEDIATE MICROECONOMICS AND ITS
Ch. 9.2 - Prob. 1MQCh. 9.2 - Prob. 2MQCh. 9.2 - Prob. 1TTACh. 9.2 - Prob. 2TTACh. 9.4 - Prob. 1MQCh. 9.4 - Prob. 2MQCh. 9.5 - Prob. 1MQCh. 9.5 - Prob. 2MQCh. 9.8 - Prob. 1MQCh. 9.8 - Prob. 2MQ
Ch. 9.8 - Prob. 1TTACh. 9.8 - Prob. 2TTACh. 9.9 - Prob. 1MQCh. 9.9 - Prob. 2MQCh. 9.9 - Prob. 1TTACh. 9.9 - Prob. 2TTACh. 9.10 - Prob. 1MQCh. 9.10 - Prob. 2MQCh. 9.10 - Prob. 1TTACh. 9.10 - Prob. 2TTACh. 9.10 - Prob. 1.1MQCh. 9.10 - Prob. 2.1MQCh. 9.10 - Prob. 3.1MQCh. 9.10 - Prob. 1.1TTACh. 9.10 - Prob. 2.1TTACh. 9.10 - Prob. 1.2MQCh. 9.10 - Prob. 2.2MQCh. 9.10 - Prob. 3.2MQCh. 9 - Prob. 1RQCh. 9 - Prob. 2RQCh. 9 - Prob. 3RQCh. 9 - Prob. 4RQCh. 9 - Prob. 5RQCh. 9 - Prob. 6RQCh. 9 - Prob. 7RQCh. 9 - Prob. 8RQCh. 9 - Prob. 9RQCh. 9 - Prob. 10RQCh. 9 - Prob. 9.1PCh. 9 - Prob. 9.2PCh. 9 - Prob. 9.3PCh. 9 - Prob. 9.4PCh. 9 - Prob. 9.5PCh. 9 - Prob. 9.6PCh. 9 - Prob. 9.7PCh. 9 - Prob. 9.8PCh. 9 - Prob. 9.9PCh. 9 - Prob. 9.10P
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