Exam 8: Global Markets in Action

When protection is encouraged to protect a growing domestic industry;which of the following is being used?

If Country A opens up their corn market to trade with the rest of the world and the global price of corn is higher than the equilibrium price of corn in Country A,then Country A will ________ corn,which will ________ consumer surplus,________ producer surplus,and ________ total surplus.

The imposition of a tariff will typically ________ government revenue and ________ domestic production of the good.

-The figure above shows the U.S.demand and the U.S.supply curves of canned peaches. a.In the absence of trade,what is price of canned peaches in the United States? b.In the absence of trade,what is the level of production in the United States? c.If the world price of canned peaches is $1 a can and the United States engages in trade,does the United States import or export canned peaches? d.If the world price of canned peaches is $1 a can and the United States engages in trade,what is the quantity produced in the United States and what is the quantity consumed? What is the quantity imported or exported? e.If the world price of canned peaches is $2 a can and the United States engages in trade,does the United States import or export canned peaches? f.If the world price of canned peaches is $2 a can and the United States engages in trade,what is the quantity produced in the United States and what is the quantity consumed? What is the quantity imported or exported?

During the 1980s,Harley-Davidson,the American motorcycle maker,asked Congress for tariff protection from large motorcycles imported from Japan.Harley-Davidson argued that their company needed protection so the company could reorganize and,after some time had passed,could become more competitive.Harley-Davidson's argument is similar to the ________ argument for protection.

If the United States imposes a tariff on foreign chocolate,how are U.S.buyers of chocolate affected?

When Italy buys Boeing jets,the price Italy pays is ________ if it produced its own jets and the price Boeing receives is ________ than it could receive from an additional U.S.buyer.

A few years ago,as oil and gas prices continued to increase,a growing number of Americans called for the United States to become less reliant on Middle-Eastern oil.Would it make sense for the United States to try to become totally self-reliant in the production of oil? Why or why not?

A quota is

Based on the figure above,international trade leads to

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,consumer surplus in the United States

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

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 the deadweight loss from the tariff is

-The United States imports cheese from a variety of countries.The table above gives the domestic supply of,and demand for,cheese in the United States.The world price of cheese is $12 per pound,and trade is unrestricted. a.How many pounds of cheese are consumed in the United States? b.How many pounds of cheese are produced in the United States? c.How many pounds of cheese are imported into the United States? If a $3 per pound tariff is imposed, d.How many pounds of cheese are consumed in the United States? e.How many pounds of cheese are produced in the United States? f.How many pounds of cheese are imported into the United States? g.How much will the U.S.government collect in tariff revenue? h.Who benefits from the tariff? Who loses?

A tariff is

After NAFTA was signed,the United States allowed more tomatoes to be imported from Mexico.What happened to the price of tomatoes in the United States when the United States allowed more tomatoes to be imported?

The United States exports

The imposition of a quota ________ domestic production,________ imports,and ________ domestic purchases.

-The above figure shows the U.S.market for replacement cell phone batteries.When there is no international trade,the equilibrium price is ________ per battery and when there is international trade the equilibrium price is ________ per battery.

If the United States starts to import a good that had previously been produced in the United States,the market price of the good in the United States