If the United States exports planes to Brazil and imports ethanol from Brazil, the price received by U.S. producers of planes ________, and the price received by Brazilian producers of ethanol ________.

Question

Quizplus · Accepted Answer

When the United States exports planes to Brazil, the demand for U.S. planes increases, leading to a higher price received by U.S. producers. Similarly, when the U.S. imports ethanol from Brazil, the demand for Brazilian ethanol increases, leading to a higher price received by Brazilian producers.

If the United States Exports Planes to Brazil and Imports