Suppose the Market for Grass Seed Can Be Expressed as

question 48

Essay

Suppose the market for grass seed can be expressed as
Demand: Q^D = 100 - 2p
Supply: Q^S = 3p
Price elasticity of supply is constant at 1.If the demand curve is changed to Q = 10 - .2p,price elasticity of demand at any given price is the same as before.Yet,the incidence of a tax falling on consumers will be higher.Why?

---

Definitions:

Existential Perspective

A view that focuses on the cognitive, affective, and behavioral consequences of basic aspects of the human condition such as the knowledge of mortality, the desire for meaning, and the precarious nature of identity.

Negative Arousal

A state of being provoked or stimulated to feel unpleasant emotions, such as stress, anger, or anxiety.

Closure Quickly

The need or tendency to resolve a situation or obtain an answer without delay, often to reduce uncertainty or discomfort.

Personal Worth

The perceived value or esteem in which an individual holds themselves; akin to self-esteem.