Suppose That a Market Is Initially in Equilibrium $P = 90 - Q ^ { d }$

question 46

Multiple Choice

Suppose that a market is initially in equilibrium. The initial demand curve is $P = 90 - Q ^ { d }$ . The initial supply curve is $P = 2 Q ^ { 5 }$ . Suppose that the government imposes a $3 tax on this market. How much of this $3 is paid for by producers?

• A) $0.
• B) $1.
• C) $1.50.
• D) $2.

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Definitions:

French

Relating to France or its people, culture, language, or nation.

Yamasee

Refers to the Yamasee War, a conflict between British settlers of colonial South Carolina and various Native American tribes, including the Yamasee, in the early 18th century.

English

A West Germanic language originating in England, now globally dominant and widely spoken internationally.

Deerskins

The skins of deer, traded as commodities between Native Americans and European settlers, often used for clothing, bookbinding, and other purposes.