The graph shown demonstrates the domestic demand and supply for a good, as well as a tariff and the world price for that good.
If this economy was previously open to free trade, the introduction of the tariff will cause government revenue to:
A) increase by areas J + K.
B) increase by areas F + G + J + K.
C) increase by areas I + J + K + L.
D) decrease by areas I + L.
Correct Answer:
Verified
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