In Canada, here is the market for Woogets Quantity Demanded- 300 - P Quantity Supplied 2P The world price is 70, and Canadians can buy and sell as much as they want at this price. What is consumer surplus in Canada, f there is completely open trade? Write the answer as a number. For example, if you think the answer is 100,971, write 100971

In Canada, here is the market for Woogets Quantity Demanded- 300 - P Quantity Supplied 2P The world price is 70, and Canadians can buy and sell as much as they want at this price. What is consumer surplus in Canada, f there is completely open trade? Write the answer as a number. For example, if you think the answer is 100,971, write 100971

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter34: Globalization And Protectionism

Section: Chapter Questions

Problem 38CTQ: Show graphically that for any tariff, there is an equivalent quota that would give the same result....

See similar textbooks

Similar questions

Show graphically that for any tariff, there is an equivalent quota that would give the same result. What would be the difference, then, between the two types of trade barriers? Hint: It is not something you can see from the graph.
How would direct subsidies to key industries be preferable to tariffs or quotas?
Suppose that the U.S. textile industry is competitiveand there is no international trade in textiles. In longrunequilibrium, the price per unit of cloth is $30.a. Describe the equilibrium using graphs for theentire market and for an individual producer.Now suppose that textile producers in other countriesare willing to sell large quantities of cloth in theUnited States for only $25 per unit.b. Assuming that U.S. textile producers have largefixed costs, what is the short-run effect of theseimports on the quantity produced by an individualproducer? What is the short-run effect on profits?Illustrate your answer with a graph.c. What is the long-run effect on the number of U.S.firms in the industry?
Price (dollars per battery) 20 18 16 14 12 10 8 0 A Sus World price + tariff World price Dus 100 300 500 700 900 1,100 1,300 Quantity (thousands of batteries) The above figure shows the U.S. market for replacement cell phone batteries. Suppose the U.S. government imposes the tariff illustrated in the figure. The tariff is equal to and the price U.S. consumers pay compared to the price paid when there was free trade.
The following graph shows the effects of a tariff of 0.25 dollars per bushel of imported soybeans. Which of the following regarding the welfare effects of this tariff is INCORRECT? $ 2.25 2.00 60 70 130 140 Q/millions bushels D S World price O A. Government revenue is $15 million. B. Producer surplus gain is $16.25 million. O C. Net welfare change to this nation is a loss of $1.25 million. D. Consumer surplus loss is $33.75 million due to the tariff.
There is a country which produces cars. It costs $11,000 for the domestic producers to produce one car, but they are not competitive on the world market where these cars are sold at $10,000. There is free trade between this country and the rest of the world right now. The government is thinking about applying export subsidies to promote car export. As a government advisor, try to give a hint whether it is good idea or not? Who wins and who loses by applying the subsidies? How much subsidy would allow domestic producers to sell on the world market? Provide the arguments on which your advice is based!
Price ($ 45 42 39 36 33 30 27 24 21 18 15 12 9 6 75 World Price Manly Oland sty Land 7 8 9 10 10 Quantity in thousands) The graph above demonstrates the domestic demand and supply for a good as well as the world price for that good if this economy were to go from autarky to free trade which of the following statements is true? Total surplus will increase by $42.000 Il Domestic consumers will purchase 2.000 und The country will expert 7.000 un
Finland imports shoes into its country; they are a price taker in this market. Suppose the world price of shoes is $40. If Finland imposes a $10 tariff on shoes, what would be the domestic price of shoes and what will happen to the quantity bought? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. The quantity bought will increase and the price will be $30. a The quantity bought will fall and the price will be $30. The quantity bought will fall and the price will be $50. The quantity bought will increase and the price will be $50.
canada has not allowed for the bulk exportation of water. the current price for water for canadian consumers is $40 per tonne (typically delivered via an underground pipe to your house/business!) and canadians consume 3 m tonnes/yr. unfortunately, climate change has resulted in droughts in california and other southern states. to help meet this need and make a profit of course, canada has decided to allow international trade in water. the north america (or world) price for water is currently $60/tonne. (hint the supply lines does not move….) Explain in words:-1) what will happen to production (supply) and canadian demand for water. 2) The effect on the producer and consumer surplus. 3) any imports / exports
The following image shows the market for wheat for the country of Palatino. sº is the domestic supply of wheat, and DD is the domestic demand for wheat. Suppose the world price of wheat is $9 per bushel. Suppose a specific tariff of $6 is imposed on each bushel of wheat imported. The net welfare loss from the tariff is represented by the area Figure 19.4 SO Price($) 25 H 15 A E DD 200 300 600 700 Quantity of Wheat (thousands of bushels) a. B and D b. I and H O c. E O d. F e. A and C
The graph shows the domestic demand and domestic supply for soybeans. Assume this country is open to international 100 trade, that soybeans are a perfectly competitive good, and that 90 the world price of soybeans is $30. Domestic supply 80- Suppose a tariff of $10 is imposed. What price will result in this country? 70. 60 - 50 40 - World price 30 - 20 - Domestic demand After the tariff is imposed, how many units of soybeans will 10 - be imported? 0 10 20 30 40 50 60 70 80 90 100 Quantity Units %24 Price ($)
What is a subsidy we have in the United States and how is that related to protectionism?