Problem
1. What would be the effect of a 75 percent tax on lawsuit punitive awards that was proposed by California Governor Arnold Schwarzenegger in 2004 on:
a. The number of punitive awards. Demonstrate your answer using supply and demand curves.
b. The number of pretrial settlements.
2. Why is a supply/demand analysis that includes only economic forces likely to be incomplete?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.