1. Consider the following demand and supply functions: QD QS = 100-P = 2+P (a) Find the market price and quantity. (b) Suppose the government imposes a tax of $1 for each unit sold. If the tax is paid by the sellers (producers), find the prices (buyer and seller) and the tax burden. (c) Show graphically the changes (in supply or demand) from part a to b. (d) Answer parts b and c, if the tax is being paid by the consumers. 2. Answer question 1 parts b,c, and d, but now the tax is 10%. 3. Answer question 1 parts b,c, and d, but instead of a tax the government gives a subsidy of $1 per unit sold. 4. Answer question 1 parts b,c, and d, but instead of a tax the government gives a subsidy of 10% of the price per unit sold.