Consider the following market QD= 15-2P QS= 5P-2.5, with the government imposing a tax of 1.4 dollars per unit
a. Find the consumer, producer and total surpluses.
b. What is the tax burden for each of the market participant? (Through a previous problem, I figured that the tax revenue TR is 11.2, consumer price is 16, and producer price is 6.4).