Question 1 Suppose that the demand and supply functions for a good are given as follows: Demand: 0 =1200-2P Supply: O =-300+ P {i) Find the equilibrium price and quantity when there is no tax. Find the elasticity of demand and elasticity of supply at the equilibrium. (i) Suppose now that government imposes $60 tax per unit of output on sellers. Find the burden on sellers and burden on buyers explicitly. Draw the diagrams. (iii) Can you explain the ratio of burden on buyers and sellers using the information about elasticities? (iv) Now suppose that the supply function is given as Q@ =-300+ 3P, Repeat the previous three parts