Question: The demand and supply for chocolates can be given by following equations. P=16-0.8Q(Demand) P=2+0.5Q(Supply) 1.Calculate equilibrium price and quantity for this market. 2.If a tax

The demand and supply for chocolates can be given by following equations.

P=16-0.8Q(Demand)

P=2+0.5Q(Supply)

1.Calculate equilibrium price and quantity for this market.

2.If a tax of $4 is imposed on suppliers of this market how would the equilibrium price and output change? How much revenue would be earned by the Government?

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!

Question 1: What is price elasticity of demand? Do you expect the price elasticity of demand for the following goods to be elastic or inelastic? Elaborate your answer. a.Beef and Chicken b.Haircare...

Solve the following attachments The Pristine River Case The Pristine River has two polluting firms on its banks. Acme Industrial and Creative Chemicals each dump 100 tons of glop into the river each...

Solve the following . A restaurant faces very high demand for its signature mousse desserts in the evening but is less busy during the day. Its manager estimates that inverse demand functions are pe...

Provide step by step solutions to the attached questions. A restaurant faces very high demand for its signature mousse desserts in the evening but is less busy during the day. Its manager estimates...

Explain the following questions. Other receipts for the couple were as follows: Dividends (all qualified dividends) $2.500 Interest income: Union Bank $ 220 State of Idaho-interest on tax refund 22...

Provide step by step solutions to the following questions. Problem 2 (30 pts) Explain your answers! The market demand function for computer games is qD (p) = BOOSp and the market supply function is...

The market demand function for computer games is q\" (p) = 300 6p and the market supply function is qS(p) = 4}). (a) Find the equations of (express price in terms of quantity) and plot the demand and...

This is my questions, thank you ! Problem 2 (30 pts) Explain your answers! The market demand function for computer games is 919(3)) 2 300 6;) and the market supply function is 913(3)) 2 439. (a) Find...

The market demand function for computer games isqD(p) = 3006pand the market supply function isqS(p) = 4p: (a) Find the equations of (express price in terms of quantity) and plot the demand and supply...

SECTION 1 : Free and Competitive Markets 1 . Demand and supply for coffee is given by the following equations. Q = 9 0 0 - 2 0 0 P Q = 7 0 0 P a . Carefully graph the market and compute the...

On January 1, 2008, the Evans Company issued callable bonds with a face value of $5,000,000 for $4,750,000 cash. These bonds paid an annual interest of 10 percent payable semiannually on January 2...

Consider the following -NFA. 8 b p {q} q {r} *r i. ii. iii. E a {q,r} o {p} {r} {p,q} Convert it into DFA Compute S (qo,abbbc) Give the set of all strings of length 3 or less accepted by the automaton

Find dy . y = 3 3 1 4 x - 4 x 2 d y = ( Simplify your answer. )

Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...

You have recently become the CFO for Beta Manufacturing, a small cap company that produces auto parts. As you step into your new position, you have decided to compile a report that details all...

A hydroponic garden uses the 10 m long perforated pipe system shown below to deliver water at 20 degrees Celsius. The pipe is 5 cm in diameter and contains a circular hole every 20 cm. A pump...

[5] A marksman is firing a pistol at a 5 cm diameter, circular bullseye some distance away. The center of the target is considered (0, 0). This marksman pulls a little to the right (positive x) and a...

Suppose you are a euro-based Italian Investor, and you are Investing 11,200 to buy shares of a British company at 50 per share. The exchange rate is 1.40 per pound. The stock pays a 1 dividend one...

Write a program to wish happy birthday to a student. Firstly, take today month and day as an input and secondly take birthday as an input in the form of month and day. If the input day and month...

Do not take criticism personally, even if it is meant to be personal.

2. To understand that as a general rule it takes about 3 minutes before the other part(s) have made up a 90% impression of you.

3. To understand that the first impression means a lot, and it takes a lot of energy to change this first impression.