10 -- Part 3: International Trade Policy
If the price elasticity of demand is 6 and the price elasticity of supply is 0.4, what percentage of a tax will the demander pay?
In which case would there be a shortage?
When the market is in a surplus, what is producer surplus?
When demand and supply are elastic, what do you think will happen to the producer?
Is there a tax system that led to this building?