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Figure: The Domestic Market for Digital Cameras
-(Figure: Domestic Market for Digital Cameras) Look at the figure The Domestic Market for Digital Cameras. Assume that P_A is the autarky price and P_W is the world price. Consumer surplus after international trade is equal to the area:

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Figure: The Domestic Market for Digital Cameras

-(Figure: Domestic Market for Digital Cameras) Look at the figure The Domestic Market for Digital Cameras. Assume that P_A is the autarky price and P_W is the world price. Consumer surplus after international trade is equal to the area:

Quizplus · Accepted Answer

Consumer surplus after international trade is equal to the sum of areas A, B, D, and E as these areas represent the benefits consumers receive from the lower world price. Area C represents the loss of producer surplus, which is not included in consumer surplus. Therefore, the correct answer is C.

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