The market demand function for computer games isqD(p) = 3006pand the market supply function isqS(p) = 4p:

(a) Find the equations of (express price in terms of quantity) and plot the demand and supply curves corresponding to the given market demand and supply functions. Find the market equilibrium price and quantitypandq.

(b) Find the producer's surplus and consumer's surplus at the equilibrium.

(c) What is the price elasticity of demand at the equilibrium point?

(d) Derive the equation of the marginal revenue curve and compute the marginal revenue

at the equilibrium point in (a).

(e) Given the demand function, at what price would total revenue be maximized?

(f) Suppose a quantity tax of $5 per game is imposed on the computer game suppliers.

What is the new equilibrium price paid by the consumers? What is the new equilibrium price received by producers? How much is the tax revenue? How much is the deadweight loss of the tax? Use a graph to explain your answers.