Tax Problem

Multiple Choice

Tax Problem. Consider a perfectly competitive market were demand is Q = 100 - P and Supply is
Q = P - 10.

-Refer to Tax Problem.In the absence of any government intervention (e.g.taxes or price controls) ,the market equilibrium is

A) P = 45,Q = 45
B) P = 55,Q = 45
C) P = 45,Q = 55
D) P = 55,Q = 55