Question: Help please.. Refer to the interactive below: Tax Burden . GRAPH Tax Burden OFF SETTINGS Reset ($) Price Tax imposed on: Supply Demand 90 $90.00

Help please..

Help please.. Refer to the interactive below: Tax Burden . GRAPH Tax

Refer to the interactive below: Tax Burden . GRAPH Tax Burden OFF SETTINGS Reset ($) Price Tax imposed on: Supply Demand 90 $90.00 Excise Tax (0 - $20) 0.00 80 70 Demand 50 Perfectly Relatively Inelastic Elastic 50 Relatively Elastic $50.00 40 Supply Less Perfectly 30 Elastic Elastic . . . . . . . . . . . ..... Perfectly Elastic 20 10 EEEE CALCULATIONS 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 Quantity Price Paid Quantity (thousands per week) No Tax $50.00 4,000 With Tax $50.00 4,000 Instructions: Adjust the sliders so that the vertical intercept of the supply curve is $20 and the vertical intercept is $70 for the demand curve. Represent a $15 tax that is paid by sellers. a) How many units do sellers sell after the tax?_ b) How much less do sellers keep from the sale of each unit as a result of the $15 tax? c) If the tax were on instead on the demand side, how many units would consumers buy? d) According to this tool, sellers are O better off O worse off O equally well off when the tax is imposed on buyers instead of on sellers

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!