This graph demonstrates the domestic demand and supply for a good,as well as the world price for that good.
According to the graph shown,if this economy were to open to trade,the amount consumed domestically would:

Question

This graph demonstrates the domestic demand and supply for a good,as well as the world price for that good. 
According to the graph shown,if this economy were to open to trade,the amount consumed domestically would:

Quizplus · Accepted Answer

Opening up to trade leads to an increase in domestic supply due to imports from the international market. As shown in the graph, the world price is lower than the domestic equilibrium price. This means that domestic producers would not be able to compete with the lower-priced imports, leading to a decrease in domestic production (from 90 to 50) and an increase in domestic consumption (from 50 to 90). Therefore, the amount consumed domestically would decrease by 40 if this economy were to open to trade.

This Graph Demonstrates the Domestic Demand and Supply for a Good,as