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The equation of the inverse demand line for tomato is F = 20 - MT while the equation of the supply line is MA =
The equation of the inverse demand line for tomato is F = 20 - MT while the equation of the supply line is MA = 2F - 4.
a) Consumer surplus when the state imposes a unit tax of t = 3 lira, the producer Calculate surplus, government income and loss of tare. (Hint: reverse supply function in the questionsupply function is given instead.) b)When the state brings t = 3 lira unit tax and s lira unit incentive.When it brings, the loss of tare in the economy is the same. What is the s in this case?(Examine the cases where only unit tax and only incentive come.)
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