During the first 6 months of 2008, the United States imported more than 700 million kilograms of coffee. Suppose the United States is considering placing trade restrictions on the importation of coffee. What would be a potential consequence of such a trade restriction?
A) The U.S. price of coffee would increase.
B) The quantity of coffee imported into the United States would increase.
C) U.S. consumers would drink more coffee.
D) The U.S. consumer surplus from coffee would increase.
Correct Answer:
Verified
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