The diagram below shows the domestic demand and supply curves in the market for newsprint in Paperland.
FIGURE 33- 5
-Refer to Figure 33- 5. If Paperland engages in trade and the world price is PB, the residents of Paperland will consume units of newsprint, and the net exports of newsprint from Paperland will be units.
A) Q1; Q5 - Q1
B) Q2; zero
C) Q3; zero
D) Q4; Q5 - Q1
E) Q5; zero
Correct Answer:
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