What insights do welfare analysis (consumer surplus/producer surplus) offer into international trade? a. That trade increases the welfare of producers, so trade may make total surplus fall. Ob. That nations are better off NOT trading with each other, because lower world prices harm most nations' producers and consumers. Oc. That while trade increases total surplus, consumers or producers in a country may gain or lose, depending on world price. Od. That tariffs make a country better off and trade wars can definitely be won!

What insights do welfare analysis (consumer surplus/producer surplus) offer into international trade? a. That trade increases the welfare of producers, so trade may make total surplus fall. Ob. That nations are better off NOT trading with each other, because lower world prices harm most nations' producers and consumers. Oc. That while trade increases total surplus, consumers or producers in a country may gain or lose, depending on world price. Od. That tariffs make a country better off and trade wars can definitely be won!

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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