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American Movies Have Become Very Popular in France

Question 244

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American movies have become very popular in France.
(A)How does this change affect the price and quantity of imported American movies? Indicate this in a diagram.
(B)Suppose the French government imposes a tariff to restore the original quantity of American movies coming into France.Indicate this in your diagram.Show the tariff revenue raised due to the tariff.

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(A) The demand for imported American mov...

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