-When a nation exports a good, its ________ surplus increases, and when it imports a good, its ________ surplus increases.
A) producer; consumer
B) total; consumer
C) consumer; producer
D) producer; producer
E) consumer; consumer

Question

-When a nation exports a good, its ________ surplus increases, and when it imports a good, its ________ surplus increases.
A) producer; consumer 
B) total; consumer 
C) consumer; producer 
D) producer; producer 
E) consumer; consumer

Quizplus · Accepted Answer

When a nation exports a good, its producer surplus increases because producers are able to sell more of their goods, often at higher prices than in the domestic market. When it imports a good, its consumer surplus increases because consumers have access to a greater variety of goods, often at lower prices than domestic alternatives.

-When a Nation Exports a Good, Its ________ Surplus Increases