If a country bans the importation of a particular good,the market equilibrium is shown by the intersection of the demand and domestic supply curves.

Question

Quizplus · Accepted Answer

When a country bans the importation of a particular good, the domestic market for that good is isolated from international markets. Therefore, the market equilibrium (price and quantity) is determined solely by the intersection of the domestic demand and domestic supply curves, without the influence of imported goods.

If a Country Bans the Importation of a Particular Good,the