The demand function for ski lessons is (_d) = 1002p_d and the supply function for ski lessons is (_s) = 3_s.

a)What is the equilibrium value and quantity?

b)A tax of 10 euros is imposed on consumers.Write the new equation that correlates the price paid by consumers and the price received by producers.

c)How much do consumers pay after tax, how much do producers receive and how many ski lessons do they take?

d)A Member of Parliament suggests that in addition to the 10 euro tax on consumers, a 6 euro subsidy be imposed on producers.Is there a difference between this policy and the policy of imposing a tax of 4 euros on consumers, without subsidizing producers?