ECON 1B03 Study Guide - Midterm Guide: Erft, Internal Fixation, Vog
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ECON 1B03 Full Course Notes
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The price buyers will pay after the tax is imposed is: The price sellers receive after the tax is imposed is: The amount of the tax per unit imposed in this market is: The amount of the tax per unit that buyers would pay would be: The amount of the tax per unit that sellers would pay would be: Assume two points on the firm"s production function are (l= 12, q= 122) and (l= 13, q= 130). It has average revenue of , and its average total cost is . If demand decreases, we can be certain that price will: fall in the short run. All firms will shut down and some of them will exit the industry. Price will then rise: fall in the short run. No firms will shut down, but some of them will exit the industry.