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    Tax Revenue and Dead weight loss

    2. Do the same as before,except have the sellers pay the tax.

    2.1Suppose a $2.50 tax is imposed on the producers in this amrket. Draw the new supplu curve(that determines the new quantity) on the graph above, and show where the consumer surplus, producer surplus, taxrevenue anddead weight loss is .

    2.2 What is the new quantity of trinkets sold? At twhat proce to buyers pay? What proce do the sellers receive?

    2.3 Calculate the tax revenue and the dead weight loss .

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