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The data in the table below are for kilos of prawns. Quantity Quantity Supplied Quantity Supplied Price Demanded (before tax) (after tax) $20 250 190
The data in the table below are for kilos of prawns. Quantity Quantity Supplied Quantity Supplied Price Demanded (before tax) (after tax) $20 250 190 22 236 200 24 210 210 26 190 220 28 170 230 30 150 240 32 130 250 a) What is the present equilibrium price and quantity? Equilibrium price: $ Equilibrium quantity: Suppose that the government introduces a $6 excise tax on prawns. b) Complete the Quantity Supplied (after tax) that results. c) What will be the new equilibrium price and quantity? New equilibrium price: $ New equilibrium quantity
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