a.Key aspects supply and demand analysis are
producer and consumer surplus; economic efficiency and deadweight. Construct a supply and demand analysis for
the home construction industry in Jacksonville assuming it is in equilibrium
and economically efficient. Clearly
explain the key aspect noted previously relative to your example. Now assume that the city imposes impact fees
in some amount of X per home sold. Show
and explain clearly how this is reflected in the analysis and its impact on
each of the aforementioned key aspects.
Specifically note how much the minimum tax revenue collected must be for
this policy to be at all reasonable.