Solved

The Following Diagram Shows a Country Which Is a Price-

Question 19

Multiple Choice

The following diagram shows a country which is a price- taker in world trade for a particular product. It initially has a tariff on the product as shown by the vertical difference between the two world supply curves.
The following diagram shows a country which is a price- taker in world trade for a particular product. It initially has a tariff on the product as shown by the vertical difference between the two world supply curves.     If the tariff were abolished, the net efficiency gain would be areas A)  2 and 4 B)  3 C)  1 and 3 D)  1, 2, 3 and 4 If the tariff were abolished, the net efficiency gain would be areas


A) 2 and 4
B) 3
C) 1 and 3
D) 1, 2, 3 and 4

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents