Please see attached.

1. (4p) Let's look at a market for 4K HDTVs. HDTV Price ($) a. Suppose the government imposes a $300 per unit 2000 tax. Find the tax wedge on the graph. What is the 1800 equilibrium quantity and price under this tax policy? 1600 1400 1200 1000 800 600 400 200 0 1 2 3 4 5 6 7 8 9 10 b. What is CS, PS, and TS in this market under the HDTV Quantity (in 1,000s] $300 per unit tax? c. How much efficiency is loss as the result of the $300 per unit tax? Show your numerical answer as well as draw on the graph the area of DWL. 2. (3 pts) Revisiting the airline ticket market from Week 3. Start by sketching a S and D diagram in which you assume that the P* is $300 and the number of airline seats is, Q*, is 70,000 at equilibrium. Assume negative externalities from air pollution when the jets are flying around the world and the cost to clean up the air pollution is estimated to be about $150 per ticket sold. Show in the same graph the efficient quantity that accounts for the Social Cost, labeled Cont From the graph, is Cont smaller or large than market equilibrium quantity, Q*? 3. (3 pts) There is a limited number of available parking spaces at School, currently free of charge. The Demand is larger than the available parking spaces. Supply is inelastic in the short run. How can the parking spaces be allocated efficiently? Describe the mechanism