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Calculate the long run excess burden

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If long run supply is given by P = 8 and demand is P = 20 - .25Q

a. Calculate the long run excess burden of a $1 per unit tax.

b. Calculate the long run excess burden of a $1 per unit subsidy.

Reference no: EM131234910

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Calculate the long run excess burden : a. Calculate the long run excess burden of a $1 per unit tax. b. Calculate the long run excess burden of a $1 per unit subsidy.
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