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Question 2 (15 points) Continue your analysis of the video poker market in Chambana: demand by patrons for the games (in thousands per week) is

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Question 2 (15 points) Continue your analysis of the video poker market in Chambana: demand by patrons for the games (in thousands per week) is Qd = 300 - 3P and the supply is Qs = 3P. Now suppose that the city of Chambana passes a new law which requires that all video poker arcades contribute m cents to a city charitable fund for each game played on their machines. . In a diagram, show the effect of the new law on the market and explain. (Do not try to give an algebraic solution; just show what happens graphically and describe.) Graphically indicate the incidence of taxation on consumers as well as arcade owners (producers). Explain what incidence of taxation is and what your graph tells you about the incidence of taxation in this case

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