Exam 9: Global Markets in Action

The infant-industry argument for protection is based on the idea of

Which of the following groups gain from international trade? i.producers of exported goods ii.domestic consumers of imported goods iii.workers in exporting firms

International trade benefits

-The above figure shows the U.S.market for 1 carat diamonds.Area A + area B + area C + area D is the

-The above figure shows the U.S.market for wheat.With international trade,the United States exports ________ of wheat.

Imports are defined as the goods and services that we

The figure above shows the U.S. market for T-shirts, where SUS is the domestic supply curve and DUS is the domestic demand curve. The world price of a T-shirt is $5. The U.S. government imposes a $2 per unit tariff on imported T-shirts. -The figure above shows that as a result of the tariff,the quantity of T-shirts produced in the United States ________,and the quantity of T-shirts imported ________.

If the United States imposed a quota on the amount of salmon imported from Chile,the result would be ________ salmon prices in the United States and ________ in the quantity of salmon demanded in the United States.

A major reason why it is difficult to lower the barriers to free trade is

When a tariff is imposed on a good,domestic consumers of the good ________ and domestic producers of the good ________.

What is "rent seeking"? How does it apply to restricting imports?

The figure above shows the U.S. market for T-shirts, where SUS is the domestic supply curve and DUS is the domestic demand curve. The United States trades freely with the rest of the world. The world price of a T-shirt is $5. -In the figure above,with international trade the United States ________ million T-shirts per year.

When a nation imports a good,its ________ surplus decreases and its ________ surplus increases.

If a tariff is imposed on imports of shrimp into the United States,U.S.producer surplus from shrimp will ________ and U.S.total surplus from shrimp will ________.

The figure above shows the U.S. market for T-shirts, where SUS is the domestic supply curve and DUS is the domestic demand curve. The United States trades freely with the rest of the world. The world price of a T-shirt is $5. -Based on the figure above,as a result of international trade,producer surplus

When a tariff supporter argues that foreign producers are selling their products for prices below the costs of production,which of the following is being used?

When a nation exports a good,its consumer surplus ________,and its producer surplus ________.

In the wake of worsening relations with China,some Americans called for an increase in tariffs on Chinese products coming into America.If higher tariffs are imposed on clothing produced in China,the price of clothing in America would

The difference between a tariff and a quota is that the revenue from the tariff goes to the

The fundamental force that generates international trade is