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Please also provide the graphs 2) Equilibrium, taxes, and welfare (30 points) The demand for good Alpha is Of = 40 - 3p and the
Please also provide the graphs
2) Equilibrium, taxes, and welfare (30 points) The demand for good Alpha is Of = 40 - 3p and the supply for good Alpha is Of = 2p. a) (5 points) What is the equilibrium price and quantity? b) (6 points) How much are the consumer and producer surplus? (show this graphically and numerically) c) (5 points) If a $1 per unit sales tax is imposed on buyers, what are the new equilibrium prices (one paid by buyers and another received by sellers) and quantity? d) (5 points) What is the incidence of the tax on consumers and producers? e) (4 points) How much revenue does the tax generateStep by Step Solution
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