Price Sus 23,000 22.000 21:000 20.000 19,000 Dus 123456789 QuTos Refer to the above diagram, where SUS and DUS are the Unites States' supply and demand curves for autos and the world price is $20,000 per auto. The quantities of autos are in millions. With an import tariff of $1,000 per auto, the quantities sold by American and foreign producers, respectively, will be O 7 million autos and 3 million autos O 7 million autos and 4 million autos O 3 million autos and 7 million autos O 3 million autos and 4 million autos %24

Price Sus 23,000 22.000 21:000 20.000 19,000 Dus 123456789 QuTos Refer to the above diagram, where SUS and DUS are the Unites States' supply and demand curves for autos and the world price is $20,000 per auto. The quantities of autos are in millions. With an import tariff of $1,000 per auto, the quantities sold by American and foreign producers, respectively, will be O 7 million autos and 3 million autos O 7 million autos and 4 million autos O 3 million autos and 7 million autos O 3 million autos and 4 million autos %24

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Which of the following arguments might be legitimate reasons for limiting imports? a) Imports destroy jobs in the import-copeting industry so we should protect this industry to save jobs. b) We need to impose tariffs fo stop our industries moving their operations and jobs to lob wage countries c) if the cost of shifting resources from import-competing industries are high enough so that together with the other transaction costs they exceed the gains from trade, we should slow down the imports. d) Low income countries' ability to buy our goods is so much less that our ability to buy theirs, that in order to have balanced trade, we should impose some restrictions of imports from such low income countries. e) Some countries f) Some foreign producers sell below their costs in order to monopolize the market so they can raise prices to monopoly levels and fleece our cosumers, so we should impose restrictions specific to such…
Sometimes governments use the 'national security' argument to justify protecting an industry with tariffs. (Choose the best answer) O Stockpiling the product is a plausible alternative to ensure national security interests without risking a trade war. O An export subsidy would always be the first best option Most countries are much weaker than the USA and therfore would never retaliate. O This argument is always plausible since tarrifs are the best way to ensure the industry is able to survive.
Can someone help me with this?
Which of the following is a disadvantage of the General Agreement on Tariffs and Trade's (GATT's) policies? It abolished the Multifiber Arrangement (MFA) designed to promote free trade in textiles. O It increased the average trade tariffs among developed countries. O Non-tariff barriers that were easy to verify and challenge were removed. Trade in services and intellectual poperty (IP) protection was not covered.
Consider the market for coffee in the small, isolated country of Krakozhia. Within Krakozhia, the domestic demand for coffee is: Q = 500-2p and the domestic supply of coffee is: Q* = -150+ 3p
Refer to the below graph, where Sa and Da are the domestic supply and demand for a product. $16 14 12 Price 10 8 6 4. 2 0 1 export. neither both 1 import IS 1 1 T T 1 13 1 1 1 20 40 60 80 100 120 140 160 180 Quantity What will this nation do if it were open to international trade and the world price was $8? 1 Sd Da
Assume a simple world in which the U.S. exports soft drinks and beer to France and imports wine from France. If the U.S. imposes large tariffs on the French wine, explain the likely impact on the values of the U.S. beverage firms, U.S. wine producers, the French beverage firms, and the French wine producers.
This graph demonstrates the domestic demand and supply for a good, as well as a tariff and the world price for that good. 215 175 130 100 M A B D H 250 $19,500. O $27,000. $37,500. C O $34,500. 500 F G J 815 K S World Price + tariff World Price 1150 1500 According to the graph shown, if the economy decides to impose a tariff, the government can expect to raise how much in government revenues? D Q
Price $16 129 14 12 10 8 co 6 4 2 Sd 0 10 20 30 40 50 60 70 80 90 Quantity Dd Please refer to the graph provided, which displays the domestic supply (S) and demand (D) curves for a certain product. The world price of this product is $6. If this particular market is open to international trade, but there is a tariff of $6 per unit imposed, then the domestic producers will earn $240, the total revenue (after tariff) going to foreign producers would be $240, and the tariff revenue going to the government would be $40 $600, and there will be no imports and no tariff revenue. $120, the total revenue (after tariff) going to foreign producers would be $120, and the tariff revenue going to the government would be $80 O $400, the total revenue (after tariff) going to foreign producers would be $120, and the tariff revenue going to the government would be $40
Consider a world with two countries - USA and Foreign and a competitive market of sugar in both countries. Foreign is more effecient in the production of sugar and in a free trade equilibrium, US would import part of its consumption of sugar. Describe graphically such trading equilibrium of sugar. What would be the effect on the sugar price in USA and on the welfare (measured by consumer surplus, pro- ducer surplus and tari§ revenue) of US when US imposes an import tariffs on sugar? Argue using a graph taking into consideration that US is a large sugar importing country.
Figure 9-1 PRICE (Dollars per unt of coffee) 70 8 50 10 с B P Uganda TI/ 9 D Domestic Supply 15 QUANTITY (Units of coffee) Domestic Demand World Price 20 Refer to Figure 9-1. From the figure it is apparent that Uganda will export coffee if trade is allowed. Uganda will import coffee if trade is allowed. Uganda has nothing to gain either by importing or exporting coffee. O the world price will fall if Uganda begins to allow its citizens to trade with other countries.