Recall the marginal valuation and marginal cost curves. Valuation: mv(Q) = 100-2Q, Cost: mc(Q) 10+ Q....

 

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Recall the marginal valuation and marginal cost curves. Valuation: mv(Q) = 100-2Q, Cost: mc(Q) 10+ Q. a. Find the formulas for the demand and supply curves. b. Compute the equilibrium price. c. Compute the equilibrium quantity. d. Graph the demand and supply curves. Illustrate on the graph the equilibrium price and quantity, the consumer surplus, and the producer surplus. e. Calculate the consumer surplus and the producer surplus. f. Assume a per-unit tax of 15 is imposed on the seller. You are to find the price the buyers pay (including the tax), the price the sellers receive (net of the tax), and the quantity transacted. g. Illustrate the equilibrium on the graph. Show the regions corresponding to (a) producer surplus, (b) consumer surplus, (c) tax revenue, and (d) deadweight loss. Recall the marginal valuation and marginal cost curves. Valuation: mv(Q) = 100-2Q, Cost: mc(Q) 10+ Q. a. Find the formulas for the demand and supply curves. b. Compute the equilibrium price. c. Compute the equilibrium quantity. d. Graph the demand and supply curves. Illustrate on the graph the equilibrium price and quantity, the consumer surplus, and the producer surplus. e. Calculate the consumer surplus and the producer surplus. f. Assume a per-unit tax of 15 is imposed on the seller. You are to find the price the buyers pay (including the tax), the price the sellers receive (net of the tax), and the quantity transacted. g. Illustrate the equilibrium on the graph. Show the regions corresponding to (a) producer surplus, (b) consumer surplus, (c) tax revenue, and (d) deadweight loss.