The figure shows a country’s domestic supply and demand curves for a good, as well as the world price, Pw, for the good that it faces, as a small country, on the world market. Initially, the country is exporting X1 units of that good at that price. Suppose that producers in this industry lobby policy makers to provide them with some sort of assistance to help them export even more. Policy makers are considering an export subsidy. What area represents the cost of this subsidy to the government (taxpayers)? Group of answer choices b+c+d a+b+c+d c+d a+b+c

Q: Demand: P=420-60Qd Supply: P=2+20QS a. With free trade and an international price of $60 per barrel,…

A: Demand : P = 420 - 60Q 60Q = (420-P) Q = (420-P)/60   Supply : P = 2 + 20Q 20Q = (P-2)  Q = (P-2)/20…

Q: domestic consumption (without tariff) import (with tariff, T=10) Deadweight loss domestic production…

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Q: Explain the possible welfare impact of restoring the import tariff for surgical masks. Should the…

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Q: Suppose the following diagram shows the domestic supply and demand curve for a good. Assume that the…

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Q: a) What is a tariff ? Does a tariff have a result from an import quota? b) Suppose a tariff allowed…

A: Hey, Thank you for the question. According to our policy we can only answer 1 question per session.…

Q: Export subsidies result in a welfare loss to the home country due to the protective and consumption…

A: An export subsidy is a payment to the exporting firm by the government of the exporting country to…

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Q: Suppose there are 2 countries that have the following supply and demand equations in autarky Country…

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Q: Explain why high tariffs have a negative impact on a country's economy.

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A: World price=$520 At this price, Domestic Demand : 90 tons Domestic Supply : 10 tons A good is…

Q: The demand for cameras in a certain country is given by D = 8000 – 30P, where P is the price of…

A: Given  Domestic demand equation of camera: D=8000-30P Domestic supply equation of camera: S=4000+10P…

Q: Romania and Georgia both produce shmoos, and are the only producers of shimoos. The market demand…

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Q: Market demand for steel in Econland is given by the domestic demand function of QD-40-4P. The…

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A: Since you have asked multiple questions, we have answered the first question for you. If you want…

Q: PRICE (Dollars per ton) 1000 900 800 700 600 500 400 300 200 --- 100 0 SK 0 50 100 150 200 250 300…

A: In the given graph, the domestic supply of apples in Kazakhstan is represented by SK, and the…

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A: The following problem in relation to imposition of tariff has been explained as follows:

Q: Belgium is a small country which produces and consumes gooseberries. The quantity demand of…

A: Given:P=rs.15Qd=120-4PQd=120-4(15)Qd=120-60Qd=60

Q: if u.s. quotas on imported goods were eliminated: a) the supply of sugar in the U.S. would shift to…

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Q: 3. The world price of sugar is $.10 per lb., but import quotas raise the U.S. price to $.225 per lb.…

A: Tariff equivalence quota means refers the same impact and rise of price in he domestic country in…

Q: The automobile industry in Macroland successfully lobbies for import quotas that result in…

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Q: Consider that the market for ethanol in Brazil is described by the following equations: Demand: P =…

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Q: $50 $48 $40 Price 5 10 17 Initial price in the U.S. Mexico price China price US demand for import…

A: According to the above question, graph is given as

Q: Use the following graph, where Sd and Dd are the domestic supply and demand for a product and Pc is…

A: An import quota is a trade restriction that sets a restriction on the quantity of goods that can be…

Q: If Burundi allows international trade in the market for maize, it will import answer, accounting for…

A: "As per our policy, we can provide solution to the first three subparts. Kindly raise the question…

Q: Kazakhstan is an apple producer, as well as an importer of apples. Suppose the following graph shows…

A: A deadweight loss implies to cost to society made by market inefficiency, which happens when supply…

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Q: The figure below shows the hypothetical domestic supply and demand for baseball caps in the country…

A:

Q: In South Korea's state-led industrialization, export subsidies allowed South Korean products (from…

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Q: Consider the case of the following large country (all prices are measured in euros, and quantities…

A:

Q: The cost of producing cars in Canada is $30,000, while the cost of producing cars in Mexico is…

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Q: For a large country import tariffs will yield a price increase for domestic consumer that is A…

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Q: = 5,000 + 0.2?. Suppose this economy opens to trade, and the world price of a car is $13,000. If the…

A: * SOLUTION :-    Given that

Q: The small nation of Capralia has an abundant stock of Pashmina goats, a breed that yields…

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Q: Now instead of a tariff the government decides to restrict the total quantity of sugar that is…

A: Domestic demand for sugar is given by: Q D = 8 – P World price of sugar is $2 Since, the government…

Q: The following graph shows the domestic market for steel in the United States, where Sp is the…

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Q: Price P1 D 01 Quantity The graph above shows domestic supply and demand with trade in a SMALL…

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Q: A small country imports T-shirts. With free trade at a world price of $10, domestic production is 10…

A: