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Consider the market for pork illustrated in the graph. Suppose demand (D1) is Q = 225 - 25p and initial supply (S1) is Q =
Consider the market for pork illustrated in the graph. Suppose demand (D1) is Q = 225 - 25p and initial supply (S1) is Q = 50 + 30p and that a $1.80 tax is charged to producers, shifting the supply curve to 82. Using the pork demand function and the original and aftertax supply functions, derive the initial equilibrium price and the after-tax equilibrium prioe. (Enter all responses using real numbers rounded to two decimal places) The equilibrium price is initially $D per kg. After the tax, the new equilibrium price is $ per kg. D. $ perks Q2Q1 Q, Million kg of pork per year
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