What portion of the tax is paid by the buyer

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Reference no: EM131244402

Qd=12-2P

a. Qs=2+3P

b. Find the equilibrium P & Q

c. Assume that a $1 tax is imposed on the seller. The new Qs=2+3(P-1)

d. Find the new P&Q

e. What proportion of the tax is paid by the seller?

f. What portion of the tax is paid by the buyer?

Reference no: EM131244402

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