The inverse demand curve for a commodit market is P=180-Q. The inverse supply curve is MC=Q. Based on this information:

a) What is the equilibrium price level if this market is competitve?
b) What is equilibrium quantity level if this market is competitive?
c) What is equilibrium price level if this market is monopolized?
d) What is equilibrium quantity level if this market is monopolized?
e) What is the net economic efficiency cost of the monopoly market compared to the competitive market baseline?

Now suppose a unit tax is imposed of 20 per unit.

f) What is the equilibrium demand price level in the competitive market when this 20 unit tax is imposed?

g) What is the equilibrium quantity in the competitive, when this 20 unit tax is imposed?

h) What is the net efficiency cost of the tax, relative to the pre-tax status quo in the competitive market

Now going to the monopoly market:
i) What is the equilibrium demand price level in the monopoly market when this 20 unit tax is imposed?

j) What is the equilibrium quantity in the monopoly market when this 20 unit tax is imposed?

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