On the Planet Economus, There Are Only Two Goods in the Economy

question 49

Essay

On the planet Economus, there are only two goods in the economy. One of the goods is econoapples. The quantity supplied of econoapples is fixed at 30. The second type of good is the econoseed. The quantity supplied of econoseeds is fixed at 60. The demand for econoapples is: The demand for econoseeds is: If the Economus world government institutes a tax of $1 on the price of econoapples, what is the effect on the amount econoapple consumers pay? Determine the equilibrium price and quantity of each good in the Economus economy.

---

Definitions:

Equatorial

Refers to the positions on a cyclic molecule that are more outwardly directed around the ring, often leading to reduced steric strain.

1,1,3-Trimethylcyclohexane

An organic compound consisting of a cyclohexane ring substituted with three methyl groups at the 1, 1, and 3 positions.

Trans-1,2-Dimethylcyclohexane

A cyclohexane molecule with methyl groups located on opposite sides (trans) at the 1 and 2 positions on the ring.

Stable Conformation

A molecular form in which the compound has the lowest possible energy level, thus being more energetically favorable and less reactive.