required book: Mankiw, G. (2018). Brief principles of macroeconomics. (8th ed.). Cengage. ISBN: 9781337802154 ResourcesRead/review the following resources for this activity:Textbook: Chapter 6 Vide

required book:

 Mankiw, G. (2018). Brief principles of macroeconomics. (8th ed.). Cengage. ISBN: 9781337802154 

ResourcesRead/review the following resources for this activity:

• Textbook: Chapter 6
• Videos: Chapter 6 (in Weekly Resources)
• No outside sources are required 

Introduction

In this paper, you will apply what you have learned in Chapter 6 to the firm or business you selected in order to see how the concepts can be applied to a business situation. 

Keep in mind that throughout this course, papers are intended to bring real-world situations to the course material that we are covering each week. Part of your grade will depend on the connections you make between your chosen firm (which could include the economic environment of your chosen firm, the markets in which your chosen firm interacts with outside actors, the decisions your chosen firm makes, etc., depending on the particular question), the material from the chapters we covered in the week, and, when applicable, your own experience. 

Activity Instructions

Be sure to address both parts of the assignment.

Part 1

For the particular firm/business you selected, explain how a tax or an increase of an already existing tax on the good the firm produces would affect the price and quantity sold of the product.  How might a firm change their decisions regarding the price or amount of the good to produce? What would you expect the incidence of the tax to be? Would it fall mostly on the buyers or seller?  Would you expect the number of sales to change significantly or not?  What would happen to the firm’s profit?  Explain. 

Part 2

Next consider a tax on an input your firm uses.  What would happen to the price your firm needs to pay for that input?  Given the model of Supply and Demand from chapter 4, what would happen to the supply of your firm’s product and what would happen to the price and quantity of sales?  Can you say anything about the firm’s profit in this case? 

Writing Requirements (APA format)

• 1.5-2 pages (approx. 300 words per page), not including title page or references page
• 1-inch margins
• Double spaced
• 12-point Times New Roman font
• Title page with topic and name of student 

Grading and Assessment

This activity will be graded based on academic content, integration of resources, and college-level writing and grammar. Refer to the Written Analysis Grading Rubric (in Course Documents) 

Course Learning Outcome(s): 1, 2, 3, 5, 61.   Apply the Ten Principles of Economics (basic economic axioms) to real-world situations.2.   Predict market outcomes using simple Microeconomic models.3.   Illustrate how markets serve to allocate goods and services.5.   Apply the simple Microeconomic models to real-world situations and determine how the assumptions or predictions of a model may need to be modified to apply to the real-world situations.6.   Analyze the implications of Government interventions on market outcomes and welfare. 

Follow the instructions carefully and follow the attachments too.

the rubric is attatched