(Advanced Analysis)The Equations for the Demand and Supply Curves for a Particular

question 16

Multiple Choice

(Advanced analysis) The equations for the demand and supply curves for a particular product are P = 10 − 0.4 Q and P = 2 + 0.4 Q, where P is price and Q is quantity expressed in units of 100. After an excise tax is imposed on the product, the supply equation is P = 3 + 0.4 Q. The equilibrium quantity after the excise tax is imposed is

• A)875 units.
• B)800 units.
• C)1,200 units.
• D)1,000 units.

---

Definitions:

Brainstorming

A creative group problem-solving and idea generation technique where participants are encouraged to come up with thoughts and solutions without judgement.

Groupthink

A psychological phenomenon that occurs within a group of people, where the desire for harmony or conformity results in an irrational or dysfunctional decision-making outcome.

Nominal Group Technique

A structured method for group brainstorming that encourages contributions from everyone.

Constructive Conflict

A situation where differing views are debated in a positive, respectful manner, leading to improved decision-making or solutions.