Refer to the diagram to the right. The closed-economy equilibrium price is $14. The world price is $8. What is the quantity of imports at the world price of $8? Imports = 30 units. (Enter your response as a whole number.) By how much will imports be reduced with the introduction of the $2 tariff? Imports decrease by 10 units. (Enter your response as a whole number.) How much tariff revenue is generated by the $2 addition? Tariff revenue = $ (Enter your response as a whole number.) G 20- 18- 16- 14- 12- 10- 8- 6- 4- 2- 0- to Price, P A 10 20 30 40 50 60 Quantity Shome 70 80 Pw+t Pw Dhome 90 100

Refer to the diagram to the right. The closed-economy equilibrium price is $14. The world price is $8. What is the quantity of imports at the world price of $8? Imports = 30 units. (Enter your response as a whole number.) By how much will imports be reduced with the introduction of the $2 tariff? Imports decrease by 10 units. (Enter your response as a whole number.) How much tariff revenue is generated by the $2 addition? Tariff revenue = $ (Enter your response as a whole number.) G 20- 18- 16- 14- 12- 10- 8- 6- 4- 2- 0- to Price, P A 10 20 30 40 50 60 Quantity Shome 70 80 Pw+t Pw Dhome 90 100

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter9: Application: International Trade

Section: Chapter Questions

Problem 2PA

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