Homework Help Question & Answers
Suppose that the United States currently both produces kumquats and imports them. The U.S. government then…
Suppose that the United States currently both produces kumquats and imports them. The U.S. government then decides to restrict international trade in kumquats by imposing a quota that allows imports of only six million pounds of kumquats into the United States each year. The figure to the right shows the results of imposing the quota. Fill in the following table (enter all numeric responses rounded to the nearest penny for prices and as whole numbers for quantities). .Su.s With Without A Quota Quota B World price of kumquats $1.50 $1.50 $1.25 $1.25 G F DE E U.S. price of kumquats Quantity supplied by U.S firms million million к Н million million Quantity demanded Du.s million million Quantity imported 14 15 A+B A+B+C+D + E + F Area of consumer surplus Q (millions of Ibs.) Area of domestic C+G G producer surplus D+F 10 Area of deadweight loss Price (S per lb.)
Add a comment