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-(Figure: The Market for Calculators) Use Figure: The Market for Calculators.Assume that S and D represent the domestic demand and supply of calculators.The world price,P_W,equals $100.The government imposes a quota restricting imports to 25 calculators.If import licenses are granted to foreigners,the net loss due to the import quota is equal to area:

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Use the following to answer question:

-(Figure: The Market for Calculators) Use Figure: The Market for Calculators.Assume that S and D represent the domestic demand and supply of calculators.The world price,P_W,equals $100.The government imposes a quota restricting imports to 25 calculators.If import licenses are granted to foreigners,the net loss due to the import quota is equal to area:

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The net loss due to the import quota is equal to the sum of consumer surplus lost (area G), producer surplus gained (area H), deadweight loss (area I), and government revenue gained from the sale of import licenses (area J). Therefore, the correct answer is G + H + I + J.

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