Question 1

When does a country have a comparative advantage in a product&#10;A)when it can produce a product more efficiently&#10;B)when its domestic price is below the world price&#10;C)when its domestic price is above the world price&#10;D)when it can benefit from importing the product

Accepted Answer

when its domestic price is below the world price

Question 2

If Brazil has a comparative advantage in producing sugar,and trade in sugar is allowed,what can be said about Brazil&#10;A)Brazil will become an importer of sugar.&#10;B)Brazil will become an exporter of sugar.&#10;C)Brazil could only become an importer of sugar if it has absolute advantage in producing sugar.&#10;D)Brazil could only become an exporter of sugar if it has absolute advantage in producing sugar.

Accepted Answer

If Brazil has a comparative advantage in producing sugar, it means that it can produce sugar at a lower opportunity cost compared to other countries. Therefore, Brazil would benefit from exporting sugar as it can receive a higher price for its sugar in the international market. Hence, Brazil will become an exporter of sugar. Option A and C are incorrect because comparative advantage is not the same as absolute advantage.

Question 3

When two countries choose to engage in international trade,who benefits&#10;A)Both countries benefit.&#10;B)One country benefits while the other country loses.&#10;C)Since it is an exchange, neither country benefits nor loses.&#10;D)Only the larger country benefits.

Accepted Answer

When two countries engage in international trade, both of them can benefit because they can each focus on producing goods that they have a comparative advantage in, and then trade with each other. This allows both countries to consume a larger variety of goods at lower prices than they otherwise would be able to produce domestically. Additionally, trade can lead to increased economic growth and job creation in both countries. While there may be some short-term disruptions to certain industries, overall trade can benefit both countries in the long run.

Question 4

To correctly analyze the welfare effects of free trade on an economy,what must economists assume&#10;A)that the country has a comparative advantage in the product&#10;B)that the country is the only producer of the product&#10;C)that the country is a price taker&#10;D)that the country has an absolute advantage in the product

Accepted Answer

Economists must assume that the country is a price taker, meaning it cannot influence world prices and must accept them as given, to analyze the welfare effects of free trade accurately.

Question 5

What is one reason for the decline in the Canadian textile industry&#10;A)foreign competition&#10;B)an increase in raw material prices&#10;C)a decrease in Canadian demand for clothing&#10;D)the enactment of the Canadian minimum wage law

Accepted Answer

The influx of foreign competition in the textile industry has been a key factor in the decline of the Canadian textile industry. Cheaper labor and production costs in countries such as China and Bangladesh have made it difficult for Canadian textile manufacturers to compete, leading to factory closures and job losses.

Question 6

What is trade among nations ultimately based on&#10;A)absolute advantage&#10;B)political advantage&#10;C)comparative advantage&#10;D)technical advantage

Accepted Answer

Comparative advantage refers to the ability of one country to produce a certain good or service at a lower opportunity cost than another country. This means that countries will trade with one another based on their individual strengths, ultimately leading to more efficient allocation of resources and economic growth. Absolute advantage, political advantage, and technical advantage are all important factors in international trade, but they are not the ultimate basis for trade among nations.

Question 7

When Canada engages in international trade with the United Kingdom,who reaps the economic benefits&#10;A)The United Kingdom reaps economic benefits and Canada loses.&#10;B)Both the United Kingdom and Canada reap economic benefits.&#10;C)It is an equal tradeoff, so neither country benefits or loses.&#10;D)The United Kingdom loses and Canada reaps economic benefits.

Accepted Answer

Both the United Kingdom and Canada reap economic benefits through international trade. Increased trade leads to greater competition, reduced prices, and expanded markets. Furthermore, Canada can export their abundant resources, such as oil and gas, to the UK and import goods such as machinery and vehicles, which benefits both countries.

Question 8

If a country allows trade and the domestic price of a good is different from the world price,will the country become an exporter&#10;A)yes, if the domestic price is lower, it will export&#10;B)no, if the domestic price is lower, it will import&#10;C)no, it will only export if the domestic price is the same as the world price&#10;D)no, it will only export if the domestic price is higher than the world price

Accepted Answer

If the domestic price is lower than the world price, the country will be able to sell its goods at a cheaper price than other countries, making it competitive in the global market. This leads to an increase in exports from the country.

Question 9

When a country allows free trade,how will the domestic price of a product compare with the world price&#10;A)The domestic price will be greater than the world price.&#10;B)The domestic price will be lower than the world price.&#10;C)The domestic price will equal the world price.&#10;D)The domestic price is the prevailing price, regardless of the world price.

Accepted Answer

When a country allows free trade, the domestic price of a product will equal the world price. This is due to the fact that there are no trade barriers in place, and therefore, the market is able to adjust to the global supply and demand for the product. If the domestic price was higher than the world price, consumers would simply purchase the product from abroad at a lower cost, and vice versa if the domestic price was lower.

Question 10

When Canadian goods are sold to the United Kingdom,how are the goods described&#10;A)exported by Canada and imported by the United Kingdom&#10;B)imported by Canada and exported by the United Kingdom&#10;C)exported by Canada and exported by the United Kingdom&#10;D)imported by Canada and imported by the United Kingdom

Accepted Answer

When Canadian goods are sold to the United Kingdom, they are considered exports from Canada and imports into the United Kingdom.

Question 11

When will the domestic price of a product equal the world price&#10;A)when the domestic supply of the product increases&#10;B)when the country allows free trade&#10;C)when trade restrictions are imposed on the product&#10;D)when the country has a comparative advantage in producing the product

Accepted Answer

The answer of When will the domestic price of a...

Question 12

What will necessarily occur after a country allows free trade&#10;A)Domestic quantity demanded must equal domestic quantity supplied at the world price.&#10;B)The world price equals the domestic price for a product and the country can choose either to import or to export the product.&#10;C)Both producers and consumers in that country will gain from trade.&#10;D)The domestic price will rise to equal the world price.

Accepted Answer

The answer of What will necessarily occur after a country...

Question 13

How does trade raise the economic well-being of a nation&#10;A)The gains of the winners exceed the losses of the losers.&#10;B)Everyone in an economy gains from trade.&#10;C)Since countries can choose what products to trade, they will pick those products that are most beneficial to society.&#10;D)Trade increases a country's gross domestic product (GDP).

Accepted Answer

The answer of How does trade raise the economic well-being...

Question 14

For any country,if the world price of computers is higher than the domestic price of computers,should that country export or import computers&#10;A)export computers, since that country has a comparative advantage in computers&#10;B)import computers, since that country has a comparative advantage in computers&#10;C)not trade computers, since that country cannot gain from trade&#10;D)not trade computers, since they already produce computers more cheaply than other countries

Accepted Answer

The answer of For any country,if the world price of...

Question 15

Which industry was a major part of the Canadian economy a century ago,but not now&#10;A)agriculture&#10;B)textile and clothing&#10;C)coal mining&#10;D)automobile

Accepted Answer

The answer of Which industry was a major part of...

Question 16

Which of the following is NOT a benefit of trade&#10;A)an increased variety of goods&#10;B)lower costs through economies of scale&#10;C)increased competition&#10;D)an ability to control domestic and world prices

Accepted Answer

The answer of Which of the following is NOT a...

Question 17

When will the domestic price of a product equal the world price&#10;A)when the domestic supply of the product increases&#10;B)when trade restrictions are imposed on the product&#10;C)if the government imposes trade restrictions&#10;D)if neither trading country has a comparative advantage in the production of the good

Accepted Answer

The answer of When will the domestic price of a...

Question 18

Why is trade beneficial&#10;A)It creates jobs for foreigners.&#10;B)It creates jobs for shippers.&#10;C)It allows each nation to apply economic pressure on other nations.&#10;D)It allows each nation to specialize in doing what it does best.

Accepted Answer

The answer of Why is trade beneficial&#10;A)It creates jobs for...

Question 19

What can be said if Canada exports cars to France and imports cheese from Switzerland&#10;A)Canada has a comparative advantage in producing cars, and Switzerland has a comparative advantage in producing cheese.&#10;B)Canada has a comparative advantage in producing cheese, and Switzerland has a comparative advantage in producing cars.&#10;C)Canada and France would both be better off if they both produce cars.&#10;D)Canada and France would both be better off if they both produce cheese.

Accepted Answer

The answer of What can be said if Canada exports...

Question 20

When does a country have a comparative advantage in a product&#10;A)when the world price is lower than its domestic price&#10;B)when the world price is higher than its domestic price&#10;C)when a country can produce a larger quantity of the product&#10;D)when a country has better technology to produce the product

Accepted Answer

The answer of When does a country have a comparative...

Question 21

What happens when a country allows trade and becomes an exporter of a good&#10;A)Domestic producers gain, and domestic consumers lose.&#10;B)Domestic producers lose, and domestic consumers gain.&#10;C)Domestic producers and domestic consumers both gain.&#10;D)Domestic producers and domestic consumers both lose.

Accepted Answer

The answer of What happens when a country allows trade...

Question 22

What does it mean for a country if the world price of a product is higher than its domestic price&#10;A)The country should import that product.&#10;B)The country should no longer produce that product.&#10;C)The country has a comparative advantage in that product.&#10;D)The country could benefit by imposing a tariff on that product.

Accepted Answer

The answer of What does it mean for a country...

Question 23

Figure 9-2&#10;  &#10;Refer to Figure 9-2.Without trade,what would consumer surplus in China be&#10;A)$800&#10;B)$1200&#10;C)$1600&#10;D)$1800

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.Without...

Question 24

Figure 9-2&#10;  &#10;Figure 9-2 shows the domestic demand and supply for pencil sharpeners in China.Supposing China engages in trade with us,what will China do&#10;A)import 100 pencil sharpeners&#10;B)import 250 pencil sharpeners&#10;C)export 250 pencil sharpeners&#10;D)export 300 pencil sharpeners

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Figure 9-2 shows the...

Question 25

When a country allows trade and becomes an importer of a good,what is the result&#10;A)Everyone in the country benefits.&#10;B)The gains of the winners exceed the losses of the losers.&#10;C)The losses of the losers exceed the gains of the winners.&#10;D)Everyone in the country loses.

Accepted Answer

The answer of When a country allows trade and becomes...

Question 26

Figure 9-3&#10;  &#10;Figure 9-3 represents the domestic hoverboard market in Canada.What would be the equilibrium price and the equilibrium quantity of hoverboards in Canada before trade&#10;A)P&#8320;, Q&#8320;&#10;B)P&#8321;, Q&#8322;&#10;C)P&#8321;, Q&#8321;&#10;D)P&#8320;, Q&#8321;

Accepted Answer

The answer of Figure 9-3&#10;  &#10;Figure 9-3 represents the...

Question 27

Figure 9-2&#10;  &#10;Refer to Figure 9-2.Without trade,what would producer surplus in China be&#10;A)$600&#10;B)$900&#10;C)$1000&#10;D)$1200

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.Without...

Question 28

Figure 9-2&#10;  &#10;Refer to Figure 9-2.What is the increase in total surplus in China because of trade&#10;A)$500&#10;B)$800&#10;C)$1000&#10;D)$1100

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.What...

Question 29

Figure 9-2&#10;  &#10;Refer to Figure 9-2.What happens to the demand and supply of the Canadian market of pencil sharpeners at the world price&#10;A)The domestic quantity demanded is greater than the domestic quantity supplied.&#10;B)The pencil sharpener market is in equilibrium.&#10;C)The demand curve is perfectly inelastic.&#10;D)Both domestic producers and domestic consumers will be better off.

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.What...

Question 30

When a country allows trade and becomes an exporter of a good,what happens to consumer surplus and producer surplus&#10;A)Consumer surplus and producer surplus will increase.&#10;B)Consumer surplus and producer surplus will decrease.&#10;C)Consumer surplus will increase, and producer surplus will decrease.&#10;D)Consumer surplus will decrease, and producer surplus will increase.

Accepted Answer

The answer of When a country allows trade and becomes...

Question 31

Figure 9-2&#10;  &#10;Refer to Figure 9-2.What happens to the demand and supply in the Chinese market of pencil sharpeners at the world price&#10;A)The domestic quantity demanded is greater than the domestic quantity supplied.&#10;B)The domestic quantity demanded is less than the domestic quantity supplied.&#10;C)China should raise the domestic demand.&#10;D)China should raise the domestic supply.

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.What...

Question 32

Figure 9-2&#10;  &#10;Refer to Figure 9-2.If China chooses to trade,what would the price of pencil sharpeners in China be and how many would be sold domestically&#10;A)$12 and 200 would be sold domestically&#10;B)$16 and 200 would be sold domestically&#10;C)$16 and 300 would be sold domestically&#10;D)$16 and 450 would be sold domestically

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.If...

Question 33

When a country allows trade and becomes an exporter of a good,which of the following will NOT result&#10;A)The price paid by domestic consumers of the good increases.&#10;B)The price received by domestic producers of the good increases.&#10;C)The losses of domestic consumers exceed the gains of domestic producers.&#10;D)The gains of domestic producers exceed the losses of domestic consumers.

Accepted Answer

The answer of When a country allows trade and becomes...

Question 34

Figure 9-2&#10;  &#10;Refer to Figure 9-2.What is producer surplus in China after trade&#10;A)$800&#10;B)$1200&#10;C)$1350&#10;D)$2700

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.What...

Question 35

Figure 9-2&#10;  &#10;Refer to Figure 9-2.What is China's position regarding pencil sharpeners in the world market&#10;A)It has a comparative advantage in pencil sharpeners.&#10;B)It cannot be competitive in the world market.&#10;C)It would be better off if the world price for pencil sharpeners and its pre-trade price were equal.&#10;D)It has an absolute advantage in pencil sharpeners.

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.What...

Question 36

Figure 9-2&#10;  &#10;Refer to Figure 9-2.With free trade,what would consumer surplus in China be&#10;A)$400&#10;B)$800&#10;C)$900&#10;D)$1600

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.With...

Question 37

Figure 9-2&#10;  &#10;Refer to Figure 9-2.What does the world price for pencil sharpeners represent&#10;A)the demand for pencil sharpeners from the rest of the world&#10;B)the supply of pencil sharpeners from the rest of the world&#10;C)the level of inefficiency in the domestic market caused by trade&#10;D)the gap between domestic quantity demanded and domestic quantity supplied and the resulting shortage

Accepted Answer

The answer of Figure 9-2&#10;  &#10;Refer to Figure 9-2.What...

Question 38

The world price of umbrellas is $4.00 each.The pre-trade price of umbrellas in England is $15 each.What would happen if England allows trade in umbrellas&#10;A)England will import umbrellas, and the price in England will be $20 each.&#10;B)England will import umbrellas, and the price in England will be $15 each.&#10;C)England will export umbrellas, and the price in England will be $20 each.&#10;D)England will export umbrellas, and the price in England will be $15 each.

Accepted Answer

The answer of The world price of umbrellas is $4.00...

Question 39

Figure 9-3&#10;  &#10;Figure 9-3 represents the domestic hoverboard market in Canada.What would be the price and quantity demanded of hoverboards in Canada after trade&#10;A)P&#8320;, Q&#8320;&#10;B)P&#8321;, Q&#8322;&#10;C)P&#8321;, Q&#8321;&#10;D)P&#8320;, Q&#8321;

Accepted Answer

The answer of Figure 9-3&#10;  &#10;Figure 9-3 represents the...

Question 40

When a country allows trade and becomes an exporter of a good,what is the result&#10;A)Everyone in the country benefits.&#10;B)Everyone in the country loses.&#10;C)The gains of the winners exceed the losses of the losers.&#10;D)The losses of the losers exceed the gains of the winners.

Accepted Answer

The answer of When a country allows trade and becomes...

Question 41

Figure 9-4&#10;  &#10;Refer to Figure 9-4.What is producer surplus in this market after trade&#10;A)A&#10;B)C + B&#10;C)C&#10;D)C + D + B

Accepted Answer

The answer of Figure 9-4&#10;  &#10;Refer to Figure 9-4.What...

Question 42

Figure 9-5&#10;  &#10;Figure 9-5 shows the domestic market for calculators in Haiti.What is the change in total surplus in Haiti because of trade&#10;A)$625&#10;B)$865&#10;C)$1500&#10;D)$2800

Accepted Answer

The answer of Figure 9-5&#10;  &#10;Figure 9-5 shows the...

Question 43

If a country allows trade and the domestic price of a good is higher than the world price,what will occur&#10;A)The country will become an exporter of the good and trade at the domestic price.&#10;B)The country will become an importer of the good and trade at the world price.&#10;C)The country will become an exporter of the good and trade at the world price.&#10;D)The country will become an importer of the good and trade at the market equilibrium price.

Accepted Answer

The answer of If a country allows trade and the...

Question 44

Aquilonia has decided to end its policy of not trading with the rest of the world.When it ends its trade restrictions,it discovers that it is importing cinnamon,exporting steel,and neither importing nor exporting rugs.What are the effects

A)Domestic producers of cinnamon are now better off, and consumers of cinnamon are worse off; producers of steel are worse off, and consumers of steel are better off; both producers and consumers of rugs are unaffected.
B)Domestic producers of cinnamon are now worse off, and consumers of cinnamon are better off; producers of steel are better off, and consumers of steel are worse off; both producers and consumers of rugs are unaffected.
C)Domestic producers of cinnamon are now worse off, and consumers of cinnamon are better off; producers of steel are worse off, and consumers of steel are better off; both producers and consumers of rugs are unaffected.
D)Domestic producers of cinnamon, steel, and rugs are worse off and consumers of cinnamon, steel and rugs are better off.This is because trade always harms producers and helps consumers.

Accepted Answer

The answer of Aquilonia has decided to end its policy...

Question 45

Figure 9-4&#10;  &#10;Refer to Figure 9-4.What is consumer surplus in this market after trade&#10;A)A&#10;B)A + B&#10;C)A + B + D&#10;D)C

Accepted Answer

The answer of Figure 9-4&#10;  &#10;Refer to Figure 9-4.What...

Question 46

Figure 9-4&#10;  &#10;Refer to Figure 9-4.What is consumer surplus in this market before trade&#10;A)A&#10;B)A + B&#10;C)A + B + C&#10;D)D

Accepted Answer

The answer of Figure 9-4&#10;  &#10;Refer to Figure 9-4.What...

Question 47

Aquilonia has decided to end its policy of not trading with the rest of the world.When it ends its trade restrictions,it discovers that it is importing cinnamon,exporting steel,and neither importing nor exporting rugs.What can we conclude about consumer surplus in Aquilonia

A)It is now higher for steel, lower for cinnamon, and the same for rugs.
B)It is now higher for cinnamon and steel, but not rugs.
C)It is now higher for cinnamon and rugs, but not steel.
D)It is now higher for cinnamon, lower for steel, and the same for rugs.

Accepted Answer

The answer of Aquilonia has decided to end its policy...

Question 48

Figure 9-5&#10;  &#10;Figure 9-5 shows the domestic market for calculators in Haiti.What would Haiti do&#10;A)export 100 calculators&#10;B)import 150 calculators&#10;C)import 250 calculators&#10;D)export 300 calculators

Accepted Answer

The answer of Figure 9-5&#10;  &#10;Figure 9-5 shows the...

Question 49

Figure 9-3&#10;  &#10;Figure 9-3 represents the domestic hoverboard market in Canada.What is the quantity of hoverboards exported from Canada&#10;A)0&#10;B)(Q&#8320; - Q&#8321;)&#10;C)(Q&#8322; - Q&#8320;)&#10;D)(Q&#8322; - Q&#8321;)

Accepted Answer

The answer of Figure 9-3&#10;  &#10;Figure 9-3 represents the...

Question 50

Figure 9-6&#10;  &#10;Refer to Figure 9-6.How many wagons would this country import or export&#10;A)export 20 wagons&#10;B)import 20 wagons&#10;C)import 30 wagons&#10;D)import 50 wagons

Accepted Answer

The answer of Figure 9-6&#10;  &#10;Refer to Figure 9-6.How...

Question 51

Figure 9-4&#10;  &#10;Refer to Figure 9-4.What is producer surplus in this market before trade&#10;A)A&#10;B)C + B&#10;C)C&#10;D)C + D + B

Accepted Answer

The answer of Figure 9-4&#10;  &#10;Refer to Figure 9-4.What...

Question 52

Figure 9-4&#10;  &#10;Refer to Figure 9-4.What is total surplus in this market after trade&#10;A)A + B&#10;B)A + B + C&#10;C)A + B + C + D&#10;D)B + C + D

Accepted Answer

The answer of Figure 9-4&#10;  &#10;Refer to Figure 9-4.What...

Question 53

Figure 9-5&#10;  &#10;Figure 9-5 shows the domestic market for calculators in Haiti.What is consumer surplus in Haiti before trade&#10;A)$375&#10;B)$1125&#10;C)$2250&#10;D)$4500

Accepted Answer

The answer of Figure 9-5&#10;  &#10;Figure 9-5 shows the...

Question 54

When Ford and General Motors import automobile parts from Mexico at prices below those they must pay in Canada,who is worse off&#10;A)Workers who assemble Ford and General Motors vehicles become worse off.&#10;B)Canadian consumers, taken as a group, become worse off.&#10;C)Mexican consumers, taken as a group, become worse off.&#10;D)Canadian companies that manufacture automobile parts become worse off.

Accepted Answer

The answer of When Ford and General Motors import automobile...

Question 55

Figure 9-6&#10;  &#10;Refer to Figure 9-6.What does the world price for wagons represent&#10;A)demand for wagons from the rest of the world&#10;B)supply of wagons from the rest of the world&#10;C)the level of inefficiency in the domestic market caused by trade&#10;D)surplus in the domestic wagon market

Accepted Answer

The answer of Figure 9-6&#10;  &#10;Refer to Figure 9-6.What...

Question 56

When a country allows trade and becomes an importer of a good,what happens to consumer surplus and producer surplus&#10;A)Consumer surplus and producer surplus will increase.&#10;B)Consumer surplus and producer surplus will decrease.&#10;C)Consumer surplus will increase, and producer surplus will decrease.&#10;D)Consumer surplus will decrease, and producer surplus will increase.

Accepted Answer

The answer of When a country allows trade and becomes...

Question 57

When a country allows trade and becomes an importer of a good,which of the following would NOT be the case&#10;A)The gains of domestic consumers exceed the losses of domestic producers.&#10;B)The losses of domestic producers exceed the gains of domestic consumers.&#10;C)The price paid by domestic consumers of the good decreases.&#10;D)The price received by domestic producers of the good decreases.

Accepted Answer

The answer of When a country allows trade and becomes...

Question 58

Figure 9-4&#10;  &#10;Refer to Figure 9-4.What is the change in total surplus in this market because of trade&#10;A)A&#10;B)B&#10;C)C&#10;D)D

Accepted Answer

The answer of Figure 9-4&#10;  &#10;Refer to Figure 9-4.What...

Question 59

Figure 9-4&#10;  &#10;Refer to Figure 9-4.What is total surplus in this market before trade&#10;A)A + B&#10;B)A + B + C&#10;C)A + B + C + D&#10;D)B + C + D

Accepted Answer

The answer of Figure 9-4&#10;  &#10;Refer to Figure 9-4.What...

Question 60

When a country allows trade and becomes an importer of a good,who is better off&#10;A)Both domestic producers and domestic consumers are better off.&#10;B)Domestic producers are better off, and domestic consumers are worse off.&#10;C)Domestic producers are worse off, and domestic consumers are better off.&#10;D)Both domestic producers and domestic consumers are worse off.

Accepted Answer

The answer of When a country allows trade and becomes...

Question 61

Figure 9-6&#10;  &#10;Refer to Figure 9-6.If this country allows free trade in wagons,what will be the result&#10;A)Consumers will gain more than producers will lose.&#10;B)Producers will gain more than consumers will lose.&#10;C)Producers and consumers will both gain equally.&#10;D)Producers and consumers will both lose equally.

Accepted Answer

The answer of Figure 9-6&#10;  &#10;Refer to Figure 9-6.If...

Question 62

Figure 9-6&#10;  &#10;Refer to Figure 9-6.If this country chooses to trade,what would be the price of wagons in this country and how many would be sold domestically&#10;A)$5 and 40 wagons would be sold domestically&#10;B)$5 and 50 wagons would be sold domestically&#10;C)$5 and 90 wagons would be sold domestically&#10;D)$8 and 70 wagons would be sold domestically

Accepted Answer

The answer of Figure 9-6&#10;  &#10;Refer to Figure 9-6.If...

Question 63

Figure 9-6&#10;  &#10;Refer to Figure 9-6.With free trade,what would consumer surplus be&#10;A)$245.00&#10;B)$303.75&#10;C)$450.00&#10;D)$607.50

Accepted Answer

The answer of Figure 9-6&#10;  &#10;Refer to Figure 9-6.With...

Question 64

Figure 9-8&#10;  &#10;Figure 9-8 shows the domestic market for solar panels in Germany.What would be the price of solar panels and the quantity demanded in Germany after trade&#10;A)P&#8320;, Q&#8320;&#10;B)P&#8321;, Q&#8320;&#10;C)P&#8321;, Q&#8322;&#10;D)P&#8322;, Q&#8322;

Accepted Answer

The answer of Figure 9-8&#10;  &#10;Figure 9-8 shows the...

Deck 9: Application: International Trade