Please answer and explain:

In a city with a medium sized population, the equilibrium price for a city bus ticket is $1.00, and the number of riders each day is 10,800.The short-run price elasticity of demand is -0.60, and the short-run elasticity of supply is 1.0.

a.Estimate the short run linear supply and demand curves for bus tickets.

b.If the demand for bus tickets increased by 10% because of a rise in the world price of oil, what would be the new equilibrium price of bus tickets?

c.If the city council refused to let the bus company raise the price of bus tickets after the demand for tickets increases (see (b) above), what daily shortage of tickets would be created?

d.Go back to the estimated equations in part (a). If the city council imposed a per unit tax of $0.50 on bus tickets, what would be the new equilibrium price of tickets? How many tickets would be sold?

i.What percentage of the tax is paid by consumers and what percentage of the tax is paid by producers?

ii.What are the welfare implications of the tax? (Be sure to indicate any changes in consumer and producer surplus as well as any deadweight loss).