U.S. producer surplus ________ when the United States imports a good and U.S. producer surplus ________ when the United States exports a good.

Question

Quizplus · Accepted Answer

When the U.S. imports a good, domestic producers face more competition, leading to a decrease in producer surplus. Conversely, when the U.S. exports a good, domestic producers benefit from access to larger markets, increasing producer surplus.

US Producer Surplus ________ When the United States Imports a Good