(Figure: A Country's Before and After Trade Equilibria) How
Many shoes will this nation import?

Question

Quizplus · Accepted Answer

The nation will import 350 shoes. This can be determined by finding the difference between the domestic supply curve and domestic demand curve at the world price, which is 70. At a price of 70, domestic quantity supplied is 200, while domestic quantity demanded is 550. The difference between these two quantities is 350, which is the quantity of shoes that will be imported.

(Figure: a Country's Before and After Trade Equilibria) How