What will the consumer surplus be after the tax

Assignment Help Macroeconomics

Reference no: EM13182014

Qd=500-5P and Qs=2P-60

What are the equilibrium quantity and price?

How much consumer surplus exists in this market?

If a $2 excise tax is levied on this good, what will happen to the equiilibruim price and quantity?

What will the consumer surplus be after the tax?

Reference no: EM13182014

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