anthers question: (10 points) If the government imposes a specific tax of $4 (remitted by the suppliers), what are the after-tax prices for consumers and suppliers (Ps and Pd)? CIRCLE YOUR FINAL ANSWERS.

QUESTION 4-TAX BANGERS23|! (15 POINTS) British politicians have been concerned with the increase in the obesity rate that has hit the country in the last 10 years. Medical costs related to obesity have been estimated to be 220 billion a year. An insightful back-bencher (a Member of Parliament) is proposing to impose a tax on any kind of bangers (which are sausages) on a national level. As he stated on TV: "I truly enjoy eating bangers, but we need to put an end to this" Sir Wellington Nelson, QBE You have been hired as a consultant to evaluate the impact of such a tax on supply and demand. You have estimated the supply and demand curves of bangers as follows: Q = 50-P Q=3P-10 A. (5 points) What are the pre-tax market equilibrium price and quantity? CIRCLE YOUR FINAL ANSWERS