The government is thinking about a tax on potash of $1.00 per kg.The government knows that the elasticity of demand for potash is = -0.50, while the elasticity of supply is =1.5. The current market equilibrium quantity is 10,000,000 kg, while the current equilibrium price that consumers pay is $5.00 per kg. Suppose that the tax is assessed on producers who collect the tax for the government.

a)What is the statutory incidence of the tax? ( show your work)

b)What will be the economic incidence of the tax? ( show your work)

c)What will be the after tax price that consumers pay? ( show your work)

d)What will be the after-tax quantity that consumers buy? ( show your work)

e)What will be the after-tax price that producers receive? show your work)

f)How much revenue will be generated by the tax? (show your work)

g)What will be the dead-weight loss from the tax? (show your work)

h)What will be the efficiency-loss ratio? ( show your work)