The figure below shows the U.S. market for imported wine. For simplicity, we consider export supply curves to be flat. Chilean wine is available for $480 per barrel and French wine is available for $420 per barrel.
Suppose the United States has a tariff of $80 per barrel on imported wine. Then, the United States joins a free-trade area with Chile. How much will the U.S. government tariff revenue change (as a result of joining the free trade area)?
A. Increase by $50 million
B. Decrease by $300 million
C. Decrease by $800 million
D. Increase by $600 million
Answer: C
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"Medium term notes" have a maturity ranging up to
A) one year. B) two years. C) five years. D) ten years.
An inverse relationship exists when:
A. there is no association between two variables. B. one variable increases and there is no change in the other variable. C. one variable increases and the other variable increases. D. one variable increases and the other variable decreases.
The level of income below which the federal government classifies a family as poor is called the:
A. median income threshold. B. poverty threshold. C. absolute measure of poverty. D. relative measure of poverty.
Suppose that 50 percent of the part-time workers of Metropolis are looking for full-time jobs
Given the data in Table 6.1, if these workers were counted as not employed and looking for work, the unemployment rate of Metropolis would be approximately A) 6 percent. B) 13 percent. C) 16 percent. D) 21 percent.