Question

Assume that in Ireland the demand and supply of tablets is given by the following equations:

P d = 1200 − 3 Q d P s = 200 + 2 Q s

Also assume that the world price for tablets is given by P w = 300. Now assume that Ireland puts an import quota into place limiting the amount of tablet imports to 100. What will the new domestic price be for tablets in Ireland?

Answer #1

Assume that in Ireland the demand and supply of tablets is given
by the following equations:
P d = 1200 − 3 Q d P s = 200 + 2 Q s
Also assume that the world price for tablets is given by P w =
300. Now assume that Ireland puts an import quota into place
limiting the amount of tablet imports to 100. How much will
producer Surplus increase as a result of the import quota?

Suppose the world price for shoes is $32 per pair. Domestic
demand and domestic supply are determined by the following
equations:
Domestic Demand: p = 120 - 2q
Domestic Supply: p = 20 + 3q where p and q represent price and
quantity, respectively
9. What is the net loss to the domestic economy if the above
import quota of 30 pairs of shoes is implemented under the
arrangement of Voluntary Export Restraint (VER)?
A) $60 B) $120 C) $360...

Aoslia is a small country that takes the world price of corn as
given. Its domestic supply and demand for corn is given by the
following: D = 45 - 3P and S = 3P - 9. Suppose the Aoslian
government applies an import quota that limits imports to 12
bushels. Assume the world price is $5.
A) Determine the quantity demanded, quantity supplied, and new
domestic price with the quota
B) Calculate the quota rent
C) Assuming that the...

Suppose the domestic supply (QSUS) and demand (QDUS) for
bicycles in the United States are given by the following set of
equations:
QSUS = 2P
QDUS = 200 – 2P
Demand (QD) and supply (QS) in the rest of the world are given
by the equations:
QS = P
QD =160 – P
Quantities are measured in thousands and price in U.S.
dollars.
After the opening of free trade with the rest of the world, if
the world price of...

A small country’s demand curve is given by Q=10-(P/2) and its
supply curve is given by Q=P-5. Assume the world is currently in
free trade and that the price under free trade is $7. What is the
size of the import quota that, when introduced, would be equivalent
(i.e. have the same impact on price and quantity) to the
introduction of a $2 specific import tariff?

Consider a small open economy of Guyana that faces the following
domestic demand and supply for sugar. Supply: Q = 0.25P − 2.5
Demand: Q = 50 − P where quantity is in metric tons and price is in
Guyanese dollars (GYD).
Suppose the world price of a metric ton of sugar is GYD 20. What
is the quantity of sugar that the country imports?
Feeling that local producers of sugar need protection from
foreign competition, the government imposes a...

4. Suppose the domestic supply and demand curves for petroleum
in the U.S. are, Qs = 10P - 300 Qd = 3000 - 20P Let the world trade
price be $50 per barrel. 1) What is the equilibrium quantity of
imports? 2) Suppose a specific tariff of $10 per barrel is imposed.
Calculate Consumer surplus, producer surplus, and tariff revenue.
3) Suppose the government imposes an import quota of 1200 units of
barrels. Find the trading price for petroleum.

I ONLY NEED #2 PLEASE
1. The following equations represent a small country's home
supply and demand curves for widgets: S = 0 + 2P and D = 1,000 –
2P.
A) Find the equilibrium price and quantity for widgets in
autarky.
B) Now let the world price be $200. Find domestic production,
domestic consumption, and the amount of imports.
C) Derive the country's import demand curve (equation) for
widgets.
D) Let the country impose a 10% tariff. Calculate its...

Answer questions 6 through 12 based on the following
information: Consider a domestic market (industry) for product X
represented by Domestic Demand: p = 200 − 2q Domestic Supply: p =
2q where p and q represent price and quantity, respectively. Assume
that the domestic market is perfectly competitive and that the
world price of this product is $50 per unit.
9. If a 60% ad valorem tariff rate is in place, the domestic
economy’s deadweight losses will sum to...

Consider an importing with an import demand function given by
p=120-2q, which faces an export supply function of p=q. The
government decides to impose a tariff of $3 per units of
imports
1. calculate the Domestic Price and consumption before and after
the imposition of tariff.
2. What is the world price of the imports before and after the
imposition of the tariff?
3. Does this country benefit from the imposition of tariffs? By how
much?

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 9 minutes ago

asked 12 minutes ago

asked 30 minutes ago

asked 41 minutes ago

asked 48 minutes ago

asked 53 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago