Figure 9-10.The figure applies to the nation of Australia and the good is cameras.
-Refer to Figure 9-10.When trade takes place,the quantity Q₂ - Q₁ is

Question

Figure 9-10.The figure applies to the nation of Australia and the good is cameras. -Refer to Figure 9-10.When trade takes place,the quantity Q₂ - Q₁ is

Quizplus · Accepted Answer

The quantity Q₂ - Q₁ represents the difference between the quantity supplied and the quantity demanded in Australia at the world price. If this quantity is positive, it means that Australia is exporting cameras (producing more than it consumes). If it is negative, it means that Australia is importing cameras (consuming more than it produces). In this case, the quantity is negative, so Australia is importing cameras. Therefore, the correct answer is D: the number of cameras imported by Australia.