The accompanying table provides data regarding domestic demand and domestic supply of apples in the United States. Price Quantity supplied domestically (millions of pounds per year) Quantity demanded domestically (millions of pounds per year) (per apple) 0.15 6,290 9,730 0.25 7,150 8,870 0.35 8,010 8,010 0.45 8,870 7,150 0.55 9,730 6,290 a. Based on the information provided in the table, move the points to plot the domestic demand and domestic supply curves in the graph. Market for apples 80 75 Consumer surplu.. Domestic demai 70 65 Producer surplu... Domestic supp 60 55
The accompanying table provides data regarding domestic demand and domestic supply of apples in the United States. Price Quantity supplied domestically (millions of pounds per year) Quantity demanded domestically (millions of pounds per year) (per apple) 0.15 6,290 9,730 0.25 7,150 8,870 0.35 8,010 8,010 0.45 8,870 7,150 0.55 9,730 6,290 a. Based on the information provided in the table, move the points to plot the domestic demand and domestic supply curves in the graph. Market for apples 80 75 Consumer surplu.. Domestic demai 70 65 Producer surplu... Domestic supp 60 55
Chapter20: Elasticity: Demand And Supply
Section: Chapter Questions
Problem 6E
Related questions
Question
![The accompanying table provides data regarding domestic demand and domestic supply of apples in the United States.
Price
Quantity supplied domestically
Quantity demanded domestically
(per apple)
(millions of pounds per year)
(millions of pounds per year)
0.15
6,290
9,730
0.25
7,150
8,870
0.35
8,010
8,010
0.45
8,870
7,150
0.55
9,730
6,290
a. Based on the information provided in the table, move the points to plot the domestic demand and domestic supply curves
in the graph.
Market for apples
80
75
Consumer surplu...
Domestic demar
70
65
Producer surplu...
Domestic suppl
60
55
50](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F88a2fc98-e0a4-40b8-93ba-f16dd72c0f3b%2Fbb8cc5d4-38bb-4a1c-934d-ae427cf6acd5%2Fdgcwfni_processed.png&w=3840&q=75)
Transcribed Image Text:The accompanying table provides data regarding domestic demand and domestic supply of apples in the United States.
Price
Quantity supplied domestically
Quantity demanded domestically
(per apple)
(millions of pounds per year)
(millions of pounds per year)
0.15
6,290
9,730
0.25
7,150
8,870
0.35
8,010
8,010
0.45
8,870
7,150
0.55
9,730
6,290
a. Based on the information provided in the table, move the points to plot the domestic demand and domestic supply curves
in the graph.
Market for apples
80
75
Consumer surplu...
Domestic demar
70
65
Producer surplu...
Domestic suppl
60
55
50
![35
30
25
20
15
10
6,290
7,150
8,010
8,870
9,730
10,590
Quantity (millions of pounds)
b. Now consider what happens when the price at which apples trade in the world market is $0.10 per apple above the
domestic price. If the United States allows international trade,
8,010 - million pounds of apples will be produced
domestically, and
9,730
million pounds of apples will be purchased in the United States. The United States will
therefore
export
3,340 - million pounds of apples.
c. In the graph, shade the areas representing consumer surplus and producer surplus with trade.
d. As a result of trade, consumer surplus
decreases
and producer surplus
increases
Total
economic surplus
does not change
Price](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F88a2fc98-e0a4-40b8-93ba-f16dd72c0f3b%2Fbb8cc5d4-38bb-4a1c-934d-ae427cf6acd5%2Fjcxciyv_processed.png&w=3840&q=75)
Transcribed Image Text:35
30
25
20
15
10
6,290
7,150
8,010
8,870
9,730
10,590
Quantity (millions of pounds)
b. Now consider what happens when the price at which apples trade in the world market is $0.10 per apple above the
domestic price. If the United States allows international trade,
8,010 - million pounds of apples will be produced
domestically, and
9,730
million pounds of apples will be purchased in the United States. The United States will
therefore
export
3,340 - million pounds of apples.
c. In the graph, shade the areas representing consumer surplus and producer surplus with trade.
d. As a result of trade, consumer surplus
decreases
and producer surplus
increases
Total
economic surplus
does not change
Price
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 5 steps with 2 images
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
![Economics:](https://www.bartleby.com/isbn_cover_images/9781285859460/9781285859460_smallCoverImage.gif)
![MACROECONOMICS FOR TODAY](https://www.bartleby.com/isbn_cover_images/9781337613057/9781337613057_smallCoverImage.gif)
![Micro Economics For Today](https://www.bartleby.com/isbn_cover_images/9781337613064/9781337613064_smallCoverImage.gif)
![Economics:](https://www.bartleby.com/isbn_cover_images/9781285859460/9781285859460_smallCoverImage.gif)
![MACROECONOMICS FOR TODAY](https://www.bartleby.com/isbn_cover_images/9781337613057/9781337613057_smallCoverImage.gif)
![Micro Economics For Today](https://www.bartleby.com/isbn_cover_images/9781337613064/9781337613064_smallCoverImage.gif)
![Economics For Today](https://www.bartleby.com/isbn_cover_images/9781337613040/9781337613040_smallCoverImage.gif)
![Survey Of Economics](https://www.bartleby.com/isbn_cover_images/9781337111522/9781337111522_smallCoverImage.gif)
![Economics (MindTap Course List)](https://www.bartleby.com/isbn_cover_images/9781337617383/9781337617383_smallCoverImage.gif)
Economics (MindTap Course List)
Economics
ISBN:
9781337617383
Author:
Roger A. Arnold
Publisher:
Cengage Learning