-Refer to the above diagram,where S_d and D_d are the domestic supply and demand for a product and P_c is the world price of that product.With a per unit tariff in the amount P_cP_t,price and total quantity sold will be:

Question

-Refer to the above diagram,where S<sub>d</sub> and D<sub>d</sub> are the domestic supply and demand for a product and P<sub>c</sub> is the world price of that product.With a per unit tariff in the amount P<sub>c</sub>P<sub>t</sub>,price and total quantity sold will be: A) P<sub>t</sub> and x. B) P<sub>c</sub> and z. C) P<sub>t</sub> and y. D) P<sub>a</sub> and x.

Quizplus · Accepted Answer

With a per unit tariff, the price in the domestic market rises to P_t, and the total quantity sold is y, as the tariff increases the price and reduces the quantity demanded.

-Refer to the Above Diagram,where Sd and Dd Are the Domestic

-Refer to the Above Diagram,where S_d and D_d Are the Domestic