Determine the changes to the quantity of imports

Reference no: EM13184338

The world price of wine is below the price that would prevail in the United States in the absence of trade.

a.) Assuming that American imports of wine are a small part of total world wine production, draw a graph for the U.S. market for wine under free trade.

b.) Now suppose that a tariff is place on the importation of wine into the United States to protect domestic wine producers. What does this do to the price?

c.) Draw a new diagram illustrating the price change as well as the changes to the quantity of imports.

Reference no: EM13184338

Questions Cloud

Sequence of compounds from highest melting point to least : what would be the proper sequence for the following compounds to be listed from highest melting point to least?

How many units will the consumer buy in total : Suppose that individual demand for a product is given by QD = 8000 - 10P. Marginal revenue is MR = 800 - 0.2Q, and marginal cost is constant at $20. There are no fixed costs. The firm is considering a quantity discount. The first 300 units can be ..

Economic development-diplomacy-military action : America’s foreign policy during the 20th and 21st centuries and describe how it has evolved. Has economic development, diplomacy, military action, or a combination of these achieved the best results

Explain the impact that the pacific acceptance case : Explain the impact that the Pacific Acceptance case had on existing auditing practice and list four of the procedures or practices that were identified in the ruling as being part of a competent audit.

Determine the changes to the quantity of imports : Assuming that American imports of wine are a small part of total world wine production, draw a graph for the U.S. market for wine under free trade. b.) Now suppose that a tariff is place on the importation of wine into the United States to protec..

Compute the acetylsalicylic acid in the aspirin tablet : The fluorescence of the diluted sample solution was found, by the working curve method, to correspond to a salicylate ion concentration of 4.80 x 10^-5 M. Calculate the % acetylsalicylic acid in the aspirin tablet.

Taught the basic language skills : You have taught the basic language skills specified in the previous chapter to a 4 yr old boy. The parents, however, complain that the child is not saying much on his own at home.

Identify any threats to compliance with the ifac code : Recently John was approached by the board of Company Ltd with an offer of employment as a director starting in two years time. The only condition was that the audit fees have to be reduced for the current and next year's audit.

State dibromobenzene or acenaphthylene : Suppose you have a mixture of 2 substances. You know one of the substances is either 2-chlorobenzoic acid or diphenyl acetic acid. The second substance is either p-dibromobenzene or acenaphthylene

User Account

All Pages