Suppose the market for wheat can be expressed as:

Q^d = 300 - 6p

Q^s = 4p

a. If government imposes a specific tax of $5 per unit on suppliers, what will be the price buyers pay? What is the tax incidence and government's tax revenue?

b. Suppose the demand for wheat is changed to Q^d = 360 - 8p (with the same supply function). If government imposes a specific tax of $5 on suppliers under this demand, what will be the price buyers pay and what is the tax incidence?

c. Discuss the difference in tax incidence under the above two demand functions. Why is there a difference in tax incidence?