Product demand Qd = 80-20P. Product offer: Qs = 100 + 40P. Determine the change in the equilibrium parameters after
| December 6, 2020 | education
Product demand Qd = 80-20P. Product offer: Qs = 100 + 40P. Determine the change in the equilibrium parameters after the introduction of a commodity tax of 10 monetary units. and the size of the manufacturer’s tax burden.
The functions Demand for goods Qd = 80-20P are given. Product offer: Qs = 100 + 40P.
To understand the change, you first need to find the market price and sales. 80-20R = 100 + 40R. 60P = -20, P = -3.
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