Answer the question(s)below based on the following diagram.

-Refer to the figure above.If this were a voluntary restraint agreement,the welfare costs to the importing country would be
A)$14,000.
B)$18,000.
C)$38,000.
D)$60,000.

Question

Answer the question(s)below based on the following diagram.
 
-Refer to the figure above.If this were a voluntary restraint agreement,the welfare costs to the importing country would be
A)$14,000. 
B)$18,000. 
C)$38,000. 
D)$60,000.

Quizplus · Accepted Answer

A voluntary restraint agreement typically leads to higher prices and reduced consumer surplus, resulting in welfare costs. The correct welfare cost in this scenario is $18,000.

Answer the Question(s)below Based on the Following Diagram