Problem
The current equilibrium price in a competitive market is $100. The price elasticity of demand is 4 and the price elasticity of supply is +2. If an excise tax of $3 per unit is imposed, how much would you expect the equilibrium price paid by consumers to change? How much would you expect the equilibrium price received by producers to change?
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.