Price in dollars Global price before tariff No trade price Domestic price after - tariff 18 13 10 8 Global price after tariff a b 550 more widgets 150 less widgets 400 less widgets 550 less widgets 500 750 C e d Domestic Supply WS tariff WS before tariff WS after tariff Domestic Demand 1,300 L Quantity (number of widgets) In comparison to the import levels before the tariff, this country is importing after tariff:

Price in dollars Global price before tariff No trade price Domestic price after - tariff 18 13 10 8 Global price after tariff a b 550 more widgets 150 less widgets 400 less widgets 550 less widgets 500 750 C e d Domestic Supply WS tariff WS before tariff WS after tariff Domestic Demand 1,300 L Quantity (number of widgets) In comparison to the import levels before the tariff, this country is importing after tariff:

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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