Macroeconomics
13th Edition
ISBN: 9780134735696
Author: PARKIN, Michael
Publisher: Pearson,
expand_more
expand_more
format_list_bulleted
Question
Chapter 18, Problem 24APA
(a)
To determine
The effect of export on price of water.
(b)
To determine
Beneficiaries for oil drilling in Country M.
(c)
To determine
The applicability of Hotelling principle in Country C’s water supply.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
BTU, draw a diagram to illustrate how the develop-
c. As a percent of total exports, rank the states in orda
b. Calculate the growth in exports from 2002 to 2012
156 I PART 2
SUPPLY AND DEMAND
C. Assuming natural gas prices in Europe are $6.00 per
BTU, draw a diagram to illustrate how the develop-
ment of a natural gas terminal in the United States
will affect supply and demand in the natural gas
market for Europe. Explain your findings.
d. How will the exporting of natural gas from the
United States to Europe affect consumers and pro0-
ducers in both places? Note that most of the natural
gas in Europe originates from Russia's state-owned
natural gas company, Gazprom.
Access the Discovering Data exercise for
Chapter 5 online to answer the following
3.
questions.
a. Rank the states in order of exports to China. Rank
in order of most to fewest exports.
for each state.
of most to least exports to Chino
1.
Two countries produce and consume T-shirts: the US and the ROW. Problems 1-2 are based on the supply and
demand schedules for the two countries given below. Note: The supply and demand curves are straight lines.
Quantities are in millions of T-shirts.
P
10
2
3
4
5
6
7
8
9
11
13
14
15
16
12
0
This problem asker
S
0.
0
1
2
3
9
10
11
12
0
0
0
4
5
6
7
8
US
D
32
30
28
26
24
22
20
18
16
14
12
10
8
6
4
2
0
S
0
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
ROW
D
13
12
11
10
9
8
7
6
5
4
3
2
1
0
0
0
QUESTION 1
How would decreasing an import tariff on a good affect producer surplus in a nation that imports that good?
a. no effect
b. decrease only if demand is inelastic
c. decrease
d. decrease only if demand is elastic
e. increase
Chapter 18 Solutions
Macroeconomics
Ch. 18.1 - Prob. 1RQCh. 18.1 - Prob. 2RQCh. 18.1 - Prob. 3RQCh. 18.2 - Prob. 1RQCh. 18.2 - Prob. 2RQCh. 18.2 - Prob. 3RQCh. 18.2 - Prob. 4RQCh. 18.3 - Prob. 1RQCh. 18.3 - Prob. 2RQCh. 18.3 - Prob. 3RQ
Ch. 18.3 - Prob. 4RQCh. 18.3 - Prob. 5RQCh. 18.3 - Prob. 6RQCh. 18.4 - Prob. 1RQCh. 18.4 - Prob. 2RQCh. 18.4 - Prob. 3RQCh. 18.4 - Prob. 4RQCh. 18.4 - Prob. 5RQCh. 18 - Prob. 1SPACh. 18 - Prob. 2SPACh. 18 - Prob. 3SPACh. 18 - Prob. 4SPACh. 18 - Prob. 5SPACh. 18 - Prob. 6SPACh. 18 - Prob. 7SPACh. 18 - Prob. 8SPACh. 18 - Prob. 9SPACh. 18 - Prob. 10SPACh. 18 - Prob. 11APACh. 18 - Prob. 12APACh. 18 - Prob. 13APACh. 18 - Prob. 14APACh. 18 - Prob. 15APACh. 18 - Prob. 16APACh. 18 - Prob. 17APACh. 18 - Prob. 18APACh. 18 - Prob. 19APACh. 18 - Prob. 20APACh. 18 - Prob. 21APACh. 18 - Prob. 22APACh. 18 - Prob. 23APACh. 18 - Prob. 24APACh. 18 - Prob. 25APACh. 18 - Prob. 26APACh. 18 - Prob. 27APA
Knowledge Booster
Similar questions
- Cortania starts to trade Blueberries for country Apton's Pears. Assume country What would be the likely consequences? OCortania will enjoy more Pears at lower prices ○Apton will benefit only if it is more efficient at producing Blueberries OCortania will benefit only if it is more efficient at producing Pears OOnly the country which is more efficient at producing Blueberries will benefitarrow_forwarddiscusse the problem of the rise of the price of the petrol during the war betwen russia and ukraine detailsarrow_forward3. A fruit is traded in a competitive world market, and the world price is $10 per pound. The consumer quantity in this price is 100 million tonnes. One year later, overall fruit prices increase to $15 and total consumer level fall to 90 million tonnes. Under this circumstance, what is the price elasticity of demand fruit?arrow_forward
- Draw a supply and demand curve for oil. The government says we can no longer import oil from overseas, what happens to the supply or demand of oil? Why?arrow_forwardWhy do consumers in the United States pay more than double the world price for sugar?arrow_forwardIf the world price is greater than $120, does this create a shortage or surplus of contact lenses in the domestic market? PS- Graph shown is for contact lenses Idk what would the right answer is?arrow_forward
- Country Y Price Qdd Osd $ 9.00 250 450 8.00 300 400 7.00 350 350 6.00 400 300 5.00 450 250 The accompanying table gives data for Country Y. Column 1 is the price of a product. Column 2 is the quantity demanded domestically (Qdd). and Column 3 is the quantity supplied domestically (Qsd). If the world price of the product is $9.00, then Country Y willarrow_forwardWhat would happen if the European Union (E.U.) put a quota on American jeans and only allowed their countries to import 5,000 pairs of jeans? A. American jeans would become very expensive and desirable in the EU. B. French jeans would be more popular than any jeans and America would stop importing jeans to Europe. C. American jeans would be less desirable in the EU and there would be no demand. D. Nothing, because European countries dislike American products.arrow_forwardWhat does the term "import demand" describe? O A. Relative demand for the importing country. B. The excess of domestic demand over domestic supply. OC. The excess of foreign supply over foreign demand. O D. Demand for a good the country would like to import because it does not produce this good domestically.arrow_forward
- Kawmin is a small country that produces and consumesjelly beans. The world price of jelly beans is$1 per bag, and Kawmin’s domestic demand andsupply for jelly beans are governed by the followingequations:Demand: QD = 8 − PSupply: QS = P,where P is in dollars per bag and Q is in bags of jellybeans.a. Draw a well-labeled graph of the situation inKawminif the nation does not allow trade.Calculatethe following (recalling that the area ofa triangle is ½ × base × height): the equilibriumprice and quantity, consumer surplus, producersurplus, and total surplus.b. Kawmin then opens the market to trade. Drawanother graph to describe the new situation inthe jelly bean market. Calculate the equilibriumprice, quantities of consumption and production,imports, consumer surplus, producer surplus, andtotal surplus.c. After a while, the Czar of Kawmin respondsto the pleas of jelly bean producers by placinga $1 per bag tariff on jelly bean imports. On a graph, show the effects of…arrow_forwardWhat will be the quantity supplied by country 2 to the rest of the world at a price of 17? a) 5 b) 9 c) 12 d) 18arrow_forwardA. What effect will each of the following have on the demand for product B? 1. Product B becomes more fashionable. 2. The price of substitute product C falls. 3. A decline in incomes if B is an inferior product. 4. Consumers anticipate the price of B will be lower in the near future. 5. The price of complementary product D falls. 6. Foreign tariff barriers on B are eliminated. B. What effect will each of the following have on the supply for product B? 1. A technological advance in the methods of producing B. 2. A decline in the number of firms in industry B. 3. An increase in the price of resources required in the produUction of B. 4. The expectation that the equilibrium price of B will be lower in the future than it is currently. 5. A decline in the price of product A, a good whose production requires substantially the same techniques as does the production of B. 6. The levying of a specific sales tax upon B. 7. The granting of a 50-cent per unit subsidy of B produced.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSON
Engineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage Learning
Managerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education
Principles of Economics (12th Edition)
Economics
ISBN:9780134078779
Author:Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:9780134870069
Author:William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:9781305585126
Author:N. Gregory Mankiw
Publisher:Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...
Economics
ISBN:9781259290619
Author:Michael Baye, Jeff Prince
Publisher:McGraw-Hill Education