The government of berhama needs to raise 5000 by taxing


The demand for snorkels in Berhama is given by QS = 500 - 8PS, and the supply of snorkels in Berhama is given by QS = 200 + 4PS. The demand for kayaks is given by Qk = 650 - 6Pk, and the supply of kayaks is given by Qk = 50 - 1.5Pk. Both goods are currently untaxed, but the government of Berhama needs to raise $5,000 (to finance a new lighthouse) by taxing snorkels and kayaks.

What tax should it levy on each of the two goods?

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Financial Management: The government of berhama needs to raise 5000 by taxing
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