QD = 100 – 2p QS = 2p – 20  Find the domestic market equilibrium. Graph the impact of opening to international trade with a world price of 48, clearly labelling the new consumer surplus and producer surplus. Find the exact numerical amounts of consumer surplus, producer surplus, government revenue, and total welfare, for the case of autarky and the case of international trade. What would happen if the government imposed a tariff of 20/unit in this market? Explain.

Q: None

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