T4 Wk 3 - Trade Protection

Which of the following is NOT a "gain from trade".

• Competition and Efficiency

• Economies of Scale

• Higher Prices and Inflation

• Increased Choice & Access to Resources

State domestic producer revenue AFTER the tariff is imposed.

• H+I+J+K

• G+A+B

• G

• I+J

State foreign producer revenue AFTER the tariff is imposed.

• H+I+J+K

• G+A+B

• G

• I+J

State the quantity of the rice quota

• Q4-Q3

• Q2-Q1

• Q4 x P1

• Q4 x Pw

State the total amount of government spending after the subsidy

• A+B

• A+B+C+D+G+H+E

• A

• C+A