In another market, suppose that the demand and supply are represented by qd 400P2 and qS 05P (a) Calculate the consumer surplus at market equilibrium (b) Suppose that now the government imposes tax at producer, in which producer must pay 5 units for every goods sold How much is the reduction on consumer surplus (c) Based on answer (b), do you think that the consumer experiences tax incidence Why

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DATE PAGE COD4oo 20 as 05P achieved when ID0s your ap05P 160 oty80 25 po yo... View the full answer