The market demand for a good that has price p is D (p) = 1/ a)...

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The market demand for a good that has price p is D (p) = 1/ a) What is the price elasticity of demand e in terms of p? How does it vary with quantity demanded? [3 points] The market supply for the good is S(p) = p. b) What is the equilibrium price p* and equilibrium quantity q*? [2 points] c) Suppose an ad valorem sales tax of 21% is levied by the government. Find the after-tax equilibrium price paid by the demander på and the after-tax equilibrium price received the supplier ps. [5 points] The market demand for a good that has price p is D (p) = 1/ a) What is the price elasticity of demand e in terms of p? How does it vary with quantity demanded? [3 points] The market supply for the good is S(p) = p. b) What is the equilibrium price p* and equilibrium quantity q*? [2 points] c) Suppose an ad valorem sales tax of 21% is levied by the government. Find the after-tax equilibrium price paid by the demander på and the after-tax equilibrium price received the supplier ps. [5 points]

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