and Start M IM Baye ch 2-3 - cdflores@: M Case Studies with Teaching and Managerial Economics : X + V X O file:///C:/Users/ADMIN/Desktop/MECO/Managerial9620Economics%208%20Business%20Strategy.pdf . . . 04 =7 - -Px and Of = =Px a. Determine the equilibrium price and quantity. Show the equilibrium graphically. b. Suppose a $6 excise tax is imposed on the good. Determine the new equi- librium price and quantity. c. How much tax revenue does the government earn with the $6 tax? 8. Use the accompanying graph to answer these questions. a. Suppose demand is D and supply is So. If a price ceiling of $6 is imposed, what are the resulting shortage and full economic price? 68 Managerial Economics and Business Strategy Price of X($) A 20 18 16 14 12 10 N . p- Quantity of Good X b. Suppose demand is D and supply is S'. If a price floor of $12 is imposed, what is the resulting surplus? What is the cost to the government of pur- chasing any and all unsold units? Type here to search PS ~ )ENG 3:32 PM 14/08/2020and Start M IM Baye ch 2-3 - cdflores@: M Case Studies with Teaching and Managerial Economics : X + V X