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A- What is the production effect of a tariff? How would you describe it in words,...

A- What is the production effect of a tariff? How would you describe it in words, without reference to any diagram or numbers? How would you show it on a diagram, and how would you compute its value?

B- How are trade creation and trade diversion defined, and what roles do they play in the world gains and losses from a trade bloc?

C- A small price-taking nation imports a good that it could not possibly produce itself at any finite price. Can you describe plausible conditions under which that nation would benefit from an import tariff on the good?

D- Under what conditions could an import quota and a tariff have exactly the same effect on price and bring the same gains and losses (given a tariff level that restrictions imports just as much as the quota would)?
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