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(2) Thailand's Department of Commerce (T DC) has estimated Thailand market demand and supply equations of tobacco product as shown below: = 1000 -20P
(2) Thailand's Department of Commerce (T DC) has estimated Thailand market demand and supply equations of tobacco product as shown below: = 1000 -20P , tobacco S, tobacco tobacco - -800+20P tobacco Assume that currently the tobacco market is in equilibrium. Now suppose the government will tax t = 8 Baht/unit on buyers in the tobacco market, find price that buyers pay, price that sellers receive, market quantity, Govt. 's tax revenue, and burden of tax.
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Introduction to Econometrics
Authors: James H. Stock, Mark W. Watson
3rd edition
133595420, 978-0138009007, 138009007, 978-0133486872, 133486877, 978-0133595420
