The data for five-kilo boxes of lobsters are given in the table below. Quantity Supplied (before...

 

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The data for five-kilo boxes of lobsters are given in the table below. Quantity Supplied (before tax) 860 Quantity Supplied (after tax) 870 880 890 900 910 Price $110 115 120 125 130 135 Quantity Demanded 900 890 880 870 860 850 a) Before the tax, what are the equilibrium price and quantity? Price: $ : Quantity: [ b) Fill in the Quantity Supplied (after tax) column in the table shown above, assuming that a $10-per-unit excise tax is put on the product. c) What are the new equilibrium price and quantity? Price: Quantity: d) What portion of the $10-per-unit excise tax is paid by the seller, and what portion is paid by the consumer? Paid by seller: %; Paid by consumer The data for five-kilo boxes of lobsters are given in the table below. Quantity Supplied (before tax) 860 Quantity Supplied (after tax) 870 880 890 900 910 Price $110 115 120 125 130 135 Quantity Demanded 900 890 880 870 860 850 a) Before the tax, what are the equilibrium price and quantity? Price: $ : Quantity: [ b) Fill in the Quantity Supplied (after tax) column in the table shown above, assuming that a $10-per-unit excise tax is put on the product. c) What are the new equilibrium price and quantity? Price: Quantity: d) What portion of the $10-per-unit excise tax is paid by the seller, and what portion is paid by the consumer? Paid by seller: %; Paid by consumer

Answer rating: 100% (QA)

a Before the tax the equilibrium price and quantity are determined by the intersection of the demand and supply curves From the table we can derive th... View the full answer