Exam 9: Global Markets in Action

-The figure above shows the U.S.demand and U.S.supply curves for cherries.At a world price of $2 per pound once international trade occurs,the production of cherries in the United States will equal

-The United States imports television sets from Japan.The table above contains the U.S.demand and U.S.supply schedules for television sets.The world price of a television set is $600 per set. a.With no trade,what is the domestic price and quantity of television sets? b.At the world price,what is the quantity of sets demanded in the United States? c.At the world price,how many sets are produced in the United States? d.At the world price,how many sets are imported into the United States? e.What is the opportunity cost of producing the 4-millionth television set in the United States? In Japan?

The argument that jobs are lost to free trade is

How does a quota affect the domestic price of the import,the domestic consumption,the domestic production,and the quantity imported?

In 2002,President Bush imposed a tariff on imported steel.He did so in response to rent seeking by

The typical relationship between a worker's productivity and the worker's wage rate is

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

Suppose the world price of a shirt is $10.If the United States imposes a tariff of $5 a shirt,then the price of a shirt in the

Goods and services that we buy from firms in other countries are called our

-The above figure shows the U.S.market for replacement cell phone batteries.Area E is the

When politicians debated the North American Free Trade Agreement (NAFTA),some told stories of U.S.workers whose jobs would be moved to Mexico.Which of the following arguments in favor of protection was being used?

-The above figure shows the U.S.market for 1 carat diamonds.With free trade,Americans buy ________ diamonds and pay a price of ________ per diamond.

When a nation starts importing a good or service,the domestic production of the good or service

When the United States imports goods from the rest of the world,which of the following parties is harmed? i.domestic producers of the good ii.domestic consumers of the good iii.foreign producers of the good

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?

-The above figure shows the U.S.market for 1 carat diamonds.With free trade,the United States produces ________ diamonds and imports ________ diamonds.

Trade is often restricted because the

The United States imports t-shirts because

After a nation starts importing a good from overseas,the domestic price of the good

A tax on a good that is imposed by the importing country is called a