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economic homework help

JoPh

JoPh

Diamond Member
In terms of a partial equilibrium analysis, if the elasticity of the demand for a good that is to be taxed is 2 and the elasticity of the supply of the good is 3 at the pre-tax equilibrium, and the supply and demand schedules are linear, what percentage of the tax is borne by buyers and what proportion by sellers?


im lost. any help would be great.
 
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