Q1. The demand and supply for wine are given by Q = 20 - P and Q = 3P, respectively. P is the dollar price of wine per bottle, and Q is the number of bottles (unit: thousand bottles).do

A. What is the equilibrium price and quantity?

B. Suppose now the government imposes a per-unit tax of $4 on the sellers. Solve for the new equilibrium price and quantity, the price sellers received, and the price consumers paid.

C. Calculate the government tax revenue.

D What fraction of the tax is passed onto consumers? What fraction of the tax is actually paid by sellers?

E If the $4 tax is collected from consumers, repeat questions (2)-(4). How to do answers to 3-4 change?