QUESTION 8 As an economist, you are asked by the government to calculate demand and supply functions for the domestic toenail clippers industry. As a result of your research, you come up with the following demand and supply functions: 00 = 100,000 4,000P ; 08 = 16,000P 60,000 Fill in the blanks as indicated. Words in rounded brackets provide options for typed answers, and these must be typed exactly as shown by these options. E.g. if the text says "This will cause demand to (increaseldecrease) you have to type either increase or decrease into the textbox. Identify the following values: . The equilibrium price will be $ | . The equilibrium quantity will be The government is considering imposing $2 tax per unit on the clippers. As a result, the supply function is now QST = 16,000P 92,000. The results of such a tax is that: The quantity of toenail clippers will now be The price received by producers (after tax) will be $ The price paid by buyers (after tax) will be $5 The burden of the tax will therefore fall more heavily on (consumers l producers) . This is because demand is (more I less) elastic compared to supply. If supply was less elastic, or more inelastic, then the change in quantity resulting from this tax would be (smaller I larger l the same)