Suppose that the world price of kiwi fruit ($10 per box) is below the domestic price ($12 per box). A tariff of $1 per box would:
a. cause foreign producers to be better off, because the price they charge is now higher by $1 per box.
b. cause domestic producers to be worse off by $5 per box.
c. allow domestic consumers to enjoy kiwi fruit for $5 more per box than the free trade price, but still $2 less than the domestic price.
d. allow domestic consumers to enjoy kiwi fruit for $1 more per box than the free trade price, but still $1 less than the domestic price.
e. cause domestic producers to be worse off by $10 per box.
d
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The World Trade Organization provides for all of the following EXCEPT
A) the usage of the most favored nation clause. B) assistance in the settlement of trade disagreements. C) bilateral tariff reductions. D) multilateral tariff reductions. E) the prevention of nontariff interventions in trade.
All of the following are reasons for the downward-sloping aggregate demand curve except
A) as the price level decreases, the quantity demanded of real GDP decreases because goods and services are more expensive. B) as the price level increases, the real value of household wealth declines, reducing consumption. C) a higher price level increases the demand for money, causing an increase in the interest rate which reduces spending on investment goods and consumer durables. D) if the price level rises in a country relative to price levels in other countries, net exports will decrease in the original country.
The farmer's association is a type of government with unlimited jurisdiction
Indicate whether the statement is true or false
How is total revenue calculated?
a. multiplying price by change in demand b. multiplying price by quantity sold c. multiplying change in price by change in quantity demanded d. multiplying change in price by quantity sold