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The supply of headphones is linear and upward sloping, and the demand for headphones is linear and downward sloping. Suppose the government imposes a per-unit
The supply of headphones is linear and upward sloping, and the demand for headphones is linear and downward sloping. Suppose the government imposes a per-unit tax in the market for headphones. In this market, the tax decreases consumer surplus by $14,500.00, and it decreases producer surplus by $8,000.00. The tax decreased the equilibrium quantity of the good by 1,300.00 headphones , and it generated a deadweight loss of $6,500.00. The tax revenue generated by this tax is $ . Part 2 (1 point)
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