Refer to the information provided in Figure 20.4 below to answer the question(s) that follow. Figure 20.4
-Refer to Figure 20.4. The domestic price of a leather wallet is $20. With free trade the price of a leather wallet is $10 and after a tariff is imposed the price is $15. If there is free trade, this country will import ________ leather wallets.
A) 50
B) 100
C) 200
D) 300

Question

Refer to the information provided in Figure 20.4 below to answer the question(s) that follow.  Figure 20.4
-Refer to Figure 20.4. The domestic price of a leather wallet is $20. With free trade the price of a leather wallet is $10 and after a tariff is imposed the price is $15. If there is free trade, this country will import ________ leather wallets.
A) 50 
B) 100 
C) 200 
D) 300

Quizplus · Accepted Answer

With free trade, the price of a leather wallet is $10, which is lower than the domestic price of $20. This indicates that the country will import wallets to meet the demand at the lower price. The specific quantity (e.g., 50, 100, 200, 300) cannot be determined without additional information such as a graph or data on demand and supply at different prices. However, the correct answer is chosen based on the assumption that the question is referencing specific data or a figure not provided in the text.

Refer to the Information Provided in Figure 20