Multiple Choice
Refer to the accompanying table for a certain product's market in Econland. If the world price of the product were $6 and a tariff of $1 per unit imported is imposed, then the quantity of output that
Would be supplied domestically would be
A) 1,400 units, and the quantity of output that would be imported would be 800 units.
B) 1,600 units, and the quantity of output that would be imported would be 800 units.
C) 1,600 units, and the quantity of output that would be imported would be 400 units.
D) 1,400 units, and the quantity of output that would be imported would be 400 units.
Correct Answer:
Verified
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