Simple Question No Ai 1

Suppose the wine markets are given by the following Demand and Supply equations:

QD (per day) = 2698- 54P

QS (per day) = 33P-971

a. Equilibrium

b. if the government imposes a tax of $8 per unit, find the new equilibrium price, What is the government’s tax revenue per day?

c. How much of the $8 tax per unit do consumers pay?

d. How much of the $8 tax per-unit do consumers and producer pay?

Important note: For this question, round all answers at 2 decimal places (if your answer is not a whole number).