document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1162336>Question 1162336</A>: <I><SPAN STYLE=\"word-break: break-all;\"> A monopoly firm has<BR>\n" );
document.write( "Demand: P = 20 - 2y<BR>\n" );
document.write( "Cost: C = y2 + 5y<BR>\n" );
document.write( "Tax by t per unit output imposed. Find<BR>\n" );
document.write( "(a) Equilibrium price and quantity and show that the production quantity is<BR>\n" );
document.write( "decreasing over t . (b) Maximum tax revenue and the value of tax to be imposed. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #786320 by </B><A HREF=/tutors/aboutme.mpl?userid=ikleyn><B>ikleyn(52869)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=ikleyn><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=ikleyn><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=786320\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> .\r<BR>\n" );
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document.write( "The problem formulation is INCORRECT.\r<BR>\n" );
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document.write( "Tax is not imposed per unit output.\r<BR>\n" );
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document.write( "It is against the common logic and common rules of imposing tax.\r<BR>\n" );
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document.write( "Tax is imposed to the REVENUE.\r<BR>\n" );
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document.write( " </SPAN>\n" );
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