Question: Please help me out. I am trying to learn Mathematical Micro, and some questions are very confusing, so I appreciate the help and explanations!! 1]

Please help me out. I am trying to learn Mathematical Micro, and some questions are very confusing, so I appreciate the help and explanations!!

Please help me out. I am trying to learn Mathematical Micro, and

1] [20 points] Assume a demand function is given by Q1) = 53 2P 4Pc + 10Y and a supply Jnction is given by Q5 = 33 + 3P P1, where all variables are denes as in class. a) Solve for the market equilibrium quantity (Q) = Q3 = Q*) and the market price (P*) as functions of the exogenous variables in the model. b) How does a $50 increase in income changes the equilibrium price and the equilibrium quantity? c) Assume that all other variables (such as income, and the prices of substitutes, complements, and inputs to production) are held constant and the government has imposed a tax (T) on each unit sold. Assume this tax must be paid by sellers. Buyers pay the price PB, but after paying the tax to the government sellers receive just P5 such that Ps = PB - T. Compute the tax incidence on consumers (dPB/dT)

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