The inverse supply function for soda is: PS = 2 + QS The inverse demand function for soda is: PD = 16-QD The quantity of soda bought and sold with a $4 tax on production is: Answer:

Microeconomics A Contemporary Intro
10th Edition
ISBN:9781285635101
Author:MCEACHERN
Publisher:MCEACHERN
Chapter5: Elasticity Of Demand And Supply
Section5.A: Appendix: Price Elasticity And Tax Incidence
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The inverse supply function for soda is:
PS = 2 + QS
The inverse demand function for soda is:
PD = 16-QD
The quantity of soda bought and sold with a $4 tax on production is:
Answer:
The inverse supply function for soda is:
pS = 5+2QS
The demand function for soda is:
PD = 20-QD
The deadweight loss of a $3 subsidy to consumption is:
Answer:
Transcribed Image Text:The inverse supply function for soda is: PS = 2 + QS The inverse demand function for soda is: PD = 16-QD The quantity of soda bought and sold with a $4 tax on production is: Answer: The inverse supply function for soda is: pS = 5+2QS The demand function for soda is: PD = 20-QD The deadweight loss of a $3 subsidy to consumption is: Answer:
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