In the diagram in Question #8 above, when the tariffs are in place for both countries B And C, the tariff revenue being collected by country A's government consists of__________.

Question

Quizplus · Accepted Answer

When both countries B and C impose tariffs, the tariff revenue being collected by country A's government is equal to areas (b + F), as shown in the diagram. Area b represents the revenue from the tariff on country B's imports, and area F represents the revenue from the tariff on country C's imports. Therefore, the correct choice is C.

In the Diagram in Question #8 Above, When the Tariffs