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 open to free trade,domestic producers would produce how many units?

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 open to free trade,domestic producers would produce how many units?

Quizplus · Accepted Answer

The domestic supply curve intersects the world price at a quantity of 90 units. Therefore, domestic producers would produce 90 units if the economy were open to free trade.

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