Trade Restrictions - Tariffs Directions: Answer the questions below based on the graph. Price $11.00 $7.50 $6.00 $4.00 4 6 9 12 15 Quantity 1. How many units will the domestic firms produce without trade? 2. How many units will the domestic firms produce without a tariff if the foreign producer can sell the product at a $4 price? 3. How many units will the foreign firms produce / sell if a government tariff of $2.00 is imposed on foreign goods? 4. What will be the total government revenues if a tariff of $2.00 is imposed on foreign goods? 5. What will be the total deadweight losses if a tariff of s2.00 is imposed on foreign goods?
Trade Restrictions - Tariffs Directions: Answer the questions below based on the graph. Price $11.00 $7.50 $6.00 $4.00 4 6 9 12 15 Quantity 1. How many units will the domestic firms produce without trade? 2. How many units will the domestic firms produce without a tariff if the foreign producer can sell the product at a $4 price? 3. How many units will the foreign firms produce / sell if a government tariff of $2.00 is imposed on foreign goods? 4. What will be the total government revenues if a tariff of $2.00 is imposed on foreign goods? 5. What will be the total deadweight losses if a tariff of s2.00 is imposed on foreign goods?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
![Trade Restrictions - Tariffs
Directions: Answer the questions below based on the graph.
Price
$11.00
$7.50
$6.00
$4.00
4 6 9
12
15
Quantity
1. How many units will the domestic firms produce without trade?
2. How many units will the domestic firms produce without a tariff if the foreign producer can sell the product at a $4 price?
3. How many units will the foreign firms produce / sell if a government tariff of $2.00 is imposed on foreign goods?
4. What will be the total government revenues if a tariff of $2.00 is imposed on foreign goods?
5. What will be the total deadweight losses if a tariff of s2.00 is imposed on foreign goods?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F39aa5c04-3aab-4b19-8f77-97c7263efffb%2F03cf5fb8-e538-4a39-bf1e-e9fb1d133db9%2Fxnfyec.jpeg&w=3840&q=75)
Transcribed Image Text:Trade Restrictions - Tariffs
Directions: Answer the questions below based on the graph.
Price
$11.00
$7.50
$6.00
$4.00
4 6 9
12
15
Quantity
1. How many units will the domestic firms produce without trade?
2. How many units will the domestic firms produce without a tariff if the foreign producer can sell the product at a $4 price?
3. How many units will the foreign firms produce / sell if a government tariff of $2.00 is imposed on foreign goods?
4. What will be the total government revenues if a tariff of $2.00 is imposed on foreign goods?
5. What will be the total deadweight losses if a tariff of s2.00 is imposed on foreign goods?
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