Economics:
10th Edition
ISBN: 9781285859460
Author: BOYES, William
Publisher: Cengage Learning
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Question
Chapter 4, Problem 4E
To determine
The effect of import quota on sugar on price of sugar in the US and in the rest of the world.
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Students have asked these similar questions
Discuss the price elasticity of demand and the price elasticity of supply of goods that have low value but are limited in supply. Discuss why the reduction in world price of such commodities can be considered harmful to an economy that exports such commodities.
In the North, if the price goes down by $0.20 per pound, then the quantity supplied in the North goes down by 200 pounds per year. If the price of cherries goes down by $0.20 in the South, what will happen to the quantity supplied?
There is not enough information given to determine the supply change in the South.
The quantity will decrease by 200 pounds per year.
The quantity will increase by 200 pounds per year.
The quantity will increase by 100 pounds per year.
The table shows the demand and supply for cocoa beans in two countries: Cameroon and Nigeria. Use the information in the table to answer the questions.
Price ($) per pound (lb) of cocoa beans
Price ($/lb)
Cameroon quantity demanded (lb)
Cameroon quantity supplied (lb)
Nigeria quantity demanded (lb)
Nigeria quantity supplied (lb)
8
180
500
155
210
7
200
460
180
180
6
250
410
200
160
5
280
360
220
140
4
320
320
240
125
3
350
280
260
115
What would be the equilibrium price and quantity in Cameroon and Nigeria if free trade existed between the two countries?
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