(Solved): b. Suppose a $12 excise tax is imposed on the good. Determine the new equilibrium price and q ...

b. Suppose a $12 excise tax is imposed on the good. Determine the new equilibrium price and quantity.

Equilibrium price: $ 

Equilibrium quantity: 

c. How much tax revenue does the government earn with the $12 tax?

$ 

Suppose demand and supply are given by \( Q X^{d}=14-(1 / 2) P X \) and \( Q X^{S}=(1 / 4) P X-1 \) Instructions: Enter your responses rounded to the nearest whole number. a. Determine the equilibrium price and quantity. Show the equilibrium graphically. Equilibrium price: \( \$ \) Equilibrium quantity: Instruction: Use the tools provided to graph the inverse supply function 'S' and the inverse demand function 'D' from \( X=0 \) to \( X=6 \) (two points total for each) and indicate the equilibrium point. Equilibrium