Consider a product that is fixed on supply QS=4 and the demand for the product is givenby QD= 10-2P. The government imposes a unit tax of 2 TL per kg on the consumer.a) What is the price paid by consumer and producers before the tax and after the tax?b) Find the total tax burden, burden on consumers and burden on producers.c) Suppose that supply schedule is changed to QS= 4+P. Redo the above questions and compare the results   thanks in advance

Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter6: Supply, Demand And Government Policies
Section: Chapter Questions
Problem 6CQQ
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Consider a product that is fixed on supply QS=4 and the demand for the product is given
by QD= 10-2P. The government imposes a unit tax of 2 TL per kg on the consumer.
a) What is the price paid by consumer and producers before the tax and after the tax?
b) Find the total tax burden, burden on consumers and burden on producers.
c) Suppose that supply schedule is changed to QS= 4+P. Redo the above questions and compare the results

 

thanks in advance

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