Illustrate what would be effect taxes once all rounds

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Q. Assume that economy starts at equilibrium and mpc = 0.8. Illustrate what would be effect of a $500 increase in taxes once all rounds of multiplier process are complete?

Q. a monopolist faces a demand curve given by: p=105-3q, where p is cost of good and q is quantity demanded. Marginal cost of production is constant and is equal to $15. re are no fixed costs of production

 

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Illustrate what would be effect taxes once all rounds : Assume that economy starts at equilibrium and mpc = 0.8. Illustrate what would be effect of a $500 increase in taxes once all rounds of multiplier process are complete.
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