When a country abandons a no-trade policy, adopts a free-trade policy, and becomes an importer of a particular good,
a. consumer surplus increases and total surplus increases in the market for that good.
b. consumer surplus increases and total surplus decreases in the market for that good.
c. consumer surplus decreases and total surplus increases in the market for that good.
d. consumer surplus decreases and total surplus decreases in the market for that good.
a
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Indicate whether the statement is true or false
What must be the case if a perfectly competitive firm's economic loss is less by shutting down rather than by producing and selling some output?
What will be an ideal response?
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A. price elasticity of demand does not change. B. quantity demanded decreases. C. demand becomes more elastic. D. demand becomes less elastic. E. total revenue never changes. Reset Selection
The belief that everyone should have exactly the same amount of income is
A) merit standard.
B) comparable-worth doctrine.
C) egalitarian principle.
D) Lorenz principle.