Question: The demand function for grapefruit is defined by: D(P) = 34 -, where p is the price of a grapefruit. The supply function is

The demand function for grapefruit is defined by: D(P) = 34 -,

The demand function for grapefruit is defined by: D(P) = 34 -, where p is the price of a grapefruit. The supply function is defined by S(P) = P =-- 4. 4 (a) What is the equilibrium price and quantity of grapefruit? (P:19) (b) A tax of $16 is imposed on suppliers for each unit of grapefruit that they sell. Calculate the price the consumer pays, Pa, and the price the supplier receives, ps, after this tax. +12 (c) What is the quantity sold of grapefruit after the introduction of the tax in (b)? Acti Go to

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