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Demand: P = 86 - 20 Q

Supply: P = 2 Q + 19

Tax is 8% on Supply

Find the Economic Incidence and the Dead Weight Loss.


Scroll all the way down to see the solutions

















































Dead Weight Loss: 0.10649889902485

Consumers Pay: 5.7995596099402

Producers Pay: 0.57995596099403

Qmkt: 3.0454545454545

Qtax: 2.9470588235294