User Account

All Pages

Help, economics, Microeconomics

Assignment Help:
A monopolist faces the inverse demand for its output:
p = 30 – Q The monopolist also has a constant marginal and average cost of $4/unit. The government is seeking ways to collect tax revenue from the monopolist and faces two proposals:
i. Impose a specific tax of t on the monopolist.
ii. Impose an ad valorem tax of a on the monopolist. a. Suppose the government imposes a 20% ad valorem tax on the monopolist. What price and quantity does the monopolist choose and how much revenue does the government generate from the tax? b. Rather than an ad valorem tax, what is the government’s revenue from a specific tax of t imposed on the monopolist? Your answer should be in terms of ‘t’. c. Show that a specific tax of $3.70/unit generates the same revenue as a 20% ad valorem tax (approximately).

Related Discussions:- Help, economics

What are the policies of savings and investment - US Economy, Policies of S...

Policies of Savings and Investment Policies to make sure that savers get reasonable rates of return on their savings have the potential to boost savings rate. Comparing systems

Theory of demand and utility, prove that the utility approach and the indif...

prove that the utility approach and the indifference curve yield the same consumer equilibrium.

Home work, how do minimum units cost change with changes in fixed cost

how do minimum units cost change with changes in fixed cost

Uncertainty and risk, friedman and savage hypothesis

friedman and savage hypothesis

What are the possible advantages of free trade, What are the possible advan...

What are the possible advantages of free trade? Firms a)  Specialisation and enhanced use of comparative advantage b)  Possibility of advantages of scale c)  Spread

Economics, characteristics of microeconomics

characteristics of microeconomics

Marginal product, I am having a hard time figuring out how to find marginal...

I am having a hard time figuring out how to find marginal product.

Iso curve, how do i make one on excel

how do i make one on excel

possibility production curve, how does the concept of possibility producti...

how does the concept of possibility production curve aplicable in real life?

Impact of globalization on local states, I have an article about 40 pages l...

I have an article about 40 pages long that''s needs to be read and then a discussion question. The post has to be 35-40 lines. I will have to send/ attach the article

Write Your Message!

Captcha
Order Assignment

Featured Services

Order Now

Popular Subjects

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd