The above figure shows the U.S. market for wheat.
-With no international trade, the price of wheat in the United States is ___________per ton. With international trade, the price of wheat in the United States is ___________ per ton.

Question

The above figure shows the U.S. market for wheat. 
-With no international trade, the price of wheat in the United States is ___________per ton. With international trade, the price of wheat in the United States is ___________ per ton.

Quizplus · Accepted Answer

With international trade, the price of wheat in the U.S. is lower due to competition and access to cheaper foreign wheat, thus the price increases from $14 to $16 when trade is restricted.

The Above Figure Shows the U