The figure below shows the national market for mopeds in a small country. Dd and Sd are the domestic demand and supply curves of mopeds, respectively.
The figure below shows the marginal external benefit curve (MEB) of the country from the domestic production of mopeds.
The overall impact of the tariff on the nation would be
A. a gain of $5.75 million.
B. a loss of $20.75 million.
C. a loss of $15 million.
D. a gain of $13.25 million.
Answer: A
You might also like to view...
Many online auctions end when a certain amount of time has gone by without a bid. This causes bidders to place several last-minute bids. This practice is known as ________
A) sniping B) jump bidding C) nonforcing D) signing off
Refer to Table 26-1. The hypothetical information in the table shows what the values for real GDP and the price level will be in 2017 if the Fed does not use monetary policy
Which of the following policies makes sense if the Fed wants to keep real GDP at its potential level in 2017? A) The Fed should lower the target for the federal funds rate. B) The Fed should pursue contractionary policy. C) The trading desk should sell Treasury securities. D) The Fed should lower capital gains taxes.
Figure 17-7
The domestic country is Jamaica.
Refer to . With trade, Jamaica
a.
imports 150 calculators.
b.
imports 250 calculators.
c.
exports 100 calculators.
d.
exports 250 calculators.
The slope of an indifference curve tells us:
A. the marginal utility the consumer receives from consuming an additional unit of a good. B. how much of one good is required to compensate the consumer for giving up some of another good. C. the amount of utility a consumer receives from consuming a bundle of goods. D. the rate at which utility changes as more of one good is consumed.