12 15 Quantity aph above shows the demand and supply of wrenches for the country of Spain. If trade is avoided, Spain consumes wrenches at a price of per wrench. With free trade, for a world price of $4 per wrench, Spain is producing. wrenches. With free trade, for a world price of $4 per wrench, Spain is consuming wrenches. With free trade, for a world price of $4 per wrench, Spain is importing wrenches. If the world price is $4 per wrench, and the government of Spain imposes a tariff of $2, Spain produces and imports If the world price is $4 per wrench, and the government of Spain imposes a tariff of $2, how much tariff revenue will the Spain's governme 4.

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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What is the answer to number 5? Fill in the blanks only.

Effects of Free Trade and Restrictions
Use the graph below to answer the following questions:
Price
$11.00
$7.50
$6.00
$4.00
4
6.
6.
12
15
Quantity
The graph above shows the demand and supply of wrenches for the country of Spain.
1. If trade is avoided, Spain consumes
wrenches at a price of
per wrench.
2. With free trade, for a world price of $4 per wrench, Spain is producing
wrenches.
3. With free trade, for a world price of $4 per wrench, Spain is consuming
wrenches.
4. With free trade, for a world price of $4 per wrench, Spain is importing
wrenches.
5. If the world price is $4 per wrench, and the government of Spain imposes a tariff of $2, Spain produces
and imports
wrenches.
6. If the world price is $4 per wrench, and the government of Spain imposes a tariff of $2, how much tariff revenue will the Spain's government collect?
Transcribed Image Text:Effects of Free Trade and Restrictions Use the graph below to answer the following questions: Price $11.00 $7.50 $6.00 $4.00 4 6. 6. 12 15 Quantity The graph above shows the demand and supply of wrenches for the country of Spain. 1. If trade is avoided, Spain consumes wrenches at a price of per wrench. 2. With free trade, for a world price of $4 per wrench, Spain is producing wrenches. 3. With free trade, for a world price of $4 per wrench, Spain is consuming wrenches. 4. With free trade, for a world price of $4 per wrench, Spain is importing wrenches. 5. If the world price is $4 per wrench, and the government of Spain imposes a tariff of $2, Spain produces and imports wrenches. 6. If the world price is $4 per wrench, and the government of Spain imposes a tariff of $2, how much tariff revenue will the Spain's government collect?
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