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The aggregate supply for a good is given by the following expression, where p represents the price (in dollars): Q (p) = p- 2 The
The aggregate supply for a good is given by the following expression, where p represents the price (in dollars): Q (p) = p- 2 The aggregate demand for the good is given by: Q (p) = 28 - 2p Currently, there is no tax imposed on the production or consumption of this good. Suppose the government is considering levying a tax of r dollars on each unit of the good consumed. However, the government is concerned about backlash from the public if they end up increasing the price that consumers must pay for the good by too much. If the government wants to ensure that the price consumers pay doesn't increase by more than two dollars, what is the largest tax that they can charge? Largest tax is t = dollars
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