Economics: Principles & Policy
14th Edition
ISBN: 9781337696326
Author: William J. Baumol; Alan S. Blinder; John L. Solow
Publisher: Cengage Learning
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Question
Chapter 25, Problem 1DQ
To determine
The impact of increasing imports rather than exports.
Expert Solution & Answer
Explanation of Solution
Net export is the additional value of export over the imports, which can be calculated by subtracting imports from exports. When the import is greater than exports, it shows
Economics Concept Introduction
Trade deficit: Trade deficit refers to a situation where the imports of a country are higher than the exports by the country.
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Students have asked these similar questions
Which of the following could be a cause for imports not decreasing despite policy measures taken?
Select One:
a) Imports constitute consumer goods
b) Demand is elastic
c) Goods are luxuries
d) Imports constitutes capital goods
e) Export demand is inelastic
In the country of Mordor, the government spent $100 million on swords. Prices do not rise at all, and GDP increases by $200 million. People in Mordor
spent 70% of every dollar they received. What percent of every dollar did they spend on imported goods and services? If you think the answer is 29%, write
29. If you think the answer is zero percent, write 0.
Answer:
Question
The graph below shows domestic supply and demand for coffee in the U.S. Suppose that at any price, foreign suppliers of
coffee will supply 50, 000 pounds.
The "Domestic Supply + Imports" curve is misplaced. Re-position the curve to reflect the provided information. (Note that
quantity is expressed in thousands of pounds on the graph.)
Provide your answer below:
150
-100-
-50
0
P
Demand
Domestic Supply (40,$50)
Domestic Supply+imports (75,$50)
100
Q
150
Chapter 25 Solutions
Economics: Principles & Policy
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