Below is a graph illustrating the market for mustard seeds in Rysen III.(Sd is domestic supply,and Dd is domestic demand. ).The world price of mustard seeds is $100.

-Refer to the graph above to answer this question.Suppose that the government introduces a tariff of $20 on mustard seeds.What will be the new price?

Question

Below is a graph illustrating the market for mustard seeds in Rysen III.(Sd is domestic supply,and Dd is domestic demand. ).The world price of mustard seeds is $100.
 
-Refer to the graph above to answer this question.Suppose that the government introduces a tariff of $20 on mustard seeds.What will be the new price?

Quizplus · Accepted Answer

Without the graph, it's impossible to determine the exact impact of the tariff on the price. However, if a tariff of $20 is introduced on mustard seeds, it typically means the cost of importing those seeds increases by $20. This could lead to an increase in the market price of mustard seeds by up to $20, depending on the initial conditions of supply and demand. Without specific details from the graph, one can't accurately determine the new price, but the introduction of a tariff suggests an increase in costs that could be passed on to consumers.

Below Is a Graph Illustrating the Market for Mustard Seeds