A) the difference between the price of a product and consumers' valuation of the last unit of the product purchased. B) the difference between the price of a product and what consumers were willing to pay for the product. C) the difference between the discounted price of a product and its retail price. D) the difference between the price paid by consumers and the price required of producers. A) the difference between the price of a product and consumers' valuation of the last unit of the product purchased. B) the difference between the price of a product and what consumers were willing to pay for the product. C) the difference between the discounted price of a product and its retail price. D) the difference between the price paid by consumers and the price required of producers.

Exam 8: Import Tariffs and Quotas Under Perfect Competition

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I. Is a country a small or large country if it faces a perfectly price elastic foreign export supply curve? II. What is the optimal tariff for a country facing a perfectly price elastic foreign export supply curve? III. If the foreign export supply is less than perfectly price elastic, will the optimal tariff increase or decrease as the price elasticity of demand increases? IV. What happens to the country's welfare if it applies a tariff higher than the optimal tariff?

(Essay)

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Question 121

Rent-seeking activities are:

(Multiple Choice)

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Question 122

(Figure: Home's Import-Competing Industry) What is the consumer surplus before trade?

(Multiple Choice)

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Question 123

The following table gives the hypothetical supply and demand of television sets in Guatemala. Guatemala is a small country that is unable to affect world prices. The world price (free-trade price) is $300 per TV set. With free trade, how many TV sets will Guatemala produce?

(Multiple Choice)

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Question 124

(Figure: The Soybean Market) A quota generates a protective effect just like a tariff. Using the graph, calculate the "equivalent import tariff" that would produce the same result as an import quota of 200 units.

(Multiple Choice)

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Question 125

The expiration of the Multifibre Arrangement in 2005 caused welfare gains for the average U.S. household of approximately:

(Multiple Choice)

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Question 126

The politics behind tariff protection suggests that, other things equal, tariffs are more likely to be imposed when:

(Multiple Choice)

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Question 127

Suppose that the U.S. government imposes quotas rather than tariffs to replace the protection to U.S. producers after the expiration of the Multifibre Arrangement. As U.S. demand for clothing increases over time, U.S. clothing consumers will find that:

(Multiple Choice)

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Question 128

Several instances of U.S. agreements with its trading partners to limit their exports to the United States have come under the category of "voluntary export restraint agreements." What are these and why do nations engage in them? Give at least one example.

(Essay)

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Question 129

Consumer surplus is:

(Multiple Choice)

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Question 130

Why and how can large countries use an optimal tariff to increase net welfare?

(Essay)

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Question 131

When a large country imposes a tariff, the burden is often shared by:

(Multiple Choice)

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Question 132

If a large country imposes a tariff:

(Multiple Choice)

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Question 133

Suppose that Norway is a small country and currently produces 100,000 board feet of lumber at $600 per 1,000 board feet. Then it begins to trade at the world price of $500 per 1,000 board feet. As a result of trade, Norway's production falls to 50,000 board feet and its consumption increases to 200,000 board feet. What is Norway's total gain in consumer surplus once it begins to trade?

(Multiple Choice)

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Question 134

Why does the United States maintain high sugar quotas?

(Multiple Choice)

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Question 135

Compared with a tariff, welfare losses will _______ when voluntary export restraints are used to reduce imports.

(Multiple Choice)

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Question 136

A large nation faces a(n) foreign export supply curve, rather than a(n) foreign export supply curve.

(Multiple Choice)

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Question 137

(Figure: Home's Import-Competing Industry) What is the domestic price after trade?

(Multiple Choice)

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Question 138

In 1995, the United States considered levying a tariff on luxury cars imported from Japan. How did Japan react to this possibility?

(Multiple Choice)

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Question 139

(Figure: Home's Import-Competing Industry) What is the consumer surplus after trade?

(Multiple Choice)

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Question 140

Showing 121 - 140 of 183

Rent-seeking activities are:

(Figure: Home's Import-Competing Industry) What is the consumer surplus before trade?

The following table gives the hypothetical supply and demand of television sets in Guatemala. Guatemala is a small country that is unable to affect world prices. The world price (free-trade price) is $300 per TV set. With free trade, how many TV sets will Guatemala produce?

(Figure: The Soybean Market) A quota generates a protective effect just like a tariff. Using the graph, calculate the "equivalent import tariff" that would produce the same result as an import quota of 200 units.

The expiration of the Multifibre Arrangement in 2005 caused welfare gains for the average U.S. household of approximately:

The politics behind tariff protection suggests that, other things equal, tariffs are more likely to be imposed when:

Suppose that the U.S. government imposes quotas rather than tariffs to replace the protection to U.S. producers after the expiration of the Multifibre Arrangement. As U.S. demand for clothing increases over time, U.S. clothing consumers will find that:

Several instances of U.S. agreements with its trading partners to limit their exports to the United States have come under the category of "voluntary export restraint agreements." What are these and why do nations engage in them? Give at least one example.

Consumer surplus is:

Why and how can large countries use an optimal tariff to increase net welfare?

When a large country imposes a tariff, the burden is often shared by:

If a large country imposes a tariff:

Why does the United States maintain high sugar quotas?

Compared with a tariff, welfare losses will _______ when voluntary export restraints are used to reduce imports.

A large nation faces a(n) foreign export supply curve, rather than a(n) foreign export supply curve.

(Figure: Home's Import-Competing Industry) What is the domestic price after trade?

In 1995, the United States considered levying a tariff on luxury cars imported from Japan. How did Japan react to this possibility?

(Figure: Home's Import-Competing Industry) What is the consumer surplus after trade?

Trade in the Global Economy

Trade and Technology: The Ricardian Model

Gains and Losses From Trade in the Specific-Factors Model

Trade and Resources: the Heckscher-Ohlin Model

Movement of Labor and Capital Between Countries

Increasing Returns to Scale and Monopolistic Competition

Offshoring of Goods and Services

Import Tariffs and Quotas Under Imperfect Competition

Export Subsidies in Agriculture and High-Technology Industries

International Agreements: Trade, Labor, and the Environment

The Global Macroeconomy

Introduction to Exchange Rates and the Foreign Exchange Market

Exchange Rates I: the Monetary Approach in the Long Run

Exchange Rates II: the Asset Approach in the Short Run

National and International Accounts: Income, Wealth, and the Balance of Payments

Balance of Payments I: the Gains From Financial Globalization

Balance of Payments II: Output, Exchange Rates, and Macroeconomic Policies in the Short Run

Fixed Versus Floating: International Monetary Experience

Exchange Rate Crises: How Pegs Work and How They Break

The Euro

Topics in International Macroeconomics

Filters

Exam 8: Import Tariffs and Quotas Under Perfect Competition

Rent-seeking activities are:

(Figure: Home's Import-Competing Industry) What is the consumer surplus before trade?

The following table gives the hypothetical supply and demand of television sets in Guatemala. Guatemala is a small country that is unable to affect world prices. The world price (free-trade price) is $300 per TV set. With free trade, how many TV sets will Guatemala produce?

(Figure: The Soybean Market) A quota generates a protective effect just like a tariff. Using the graph, calculate the "equivalent import tariff" that would produce the same result as an import quota of 200 units.

The expiration of the Multifibre Arrangement in 2005 caused welfare gains for the average U.S. household of approximately:

The politics behind tariff protection suggests that, other things equal, tariffs are more likely to be imposed when:

Suppose that the U.S. government imposes quotas rather than tariffs to replace the protection to U.S. producers after the expiration of the Multifibre Arrangement. As U.S. demand for clothing increases over time, U.S. clothing consumers will find that:

Several instances of U.S. agreements with its trading partners to limit their exports to the United States have come under the category of "voluntary export restraint agreements." What are these and why do nations engage in them? Give at least one example.

Consumer surplus is:

Why and how can large countries use an optimal tariff to increase net welfare?

When a large country imposes a tariff, the burden is often shared by:

If a large country imposes a tariff:

Why does the United States maintain high sugar quotas?

Compared with a tariff, welfare losses will _______ when voluntary export restraints are used to reduce imports.

A large nation faces a(n) ____ foreign export supply curve, rather than a(n) ____ foreign export supply curve.

(Figure: Home's Import-Competing Industry) What is the domestic price after trade?

In 1995, the United States considered levying a tariff on luxury cars imported from Japan. How did Japan react to this possibility?

(Figure: Home's Import-Competing Industry) What is the consumer surplus after trade?

Trade in the Global Economy

Trade and Technology: The Ricardian Model

Gains and Losses From Trade in the Specific-Factors Model

Trade and Resources: the Heckscher-Ohlin Model

Movement of Labor and Capital Between Countries

Increasing Returns to Scale and Monopolistic Competition

Offshoring of Goods and Services

Import Tariffs and Quotas Under Imperfect Competition

Export Subsidies in Agriculture and High-Technology Industries

International Agreements: Trade, Labor, and the Environment

The Global Macroeconomy

Introduction to Exchange Rates and the Foreign Exchange Market

Exchange Rates I: the Monetary Approach in the Long Run

Exchange Rates II: the Asset Approach in the Short Run

National and International Accounts: Income, Wealth, and the Balance of Payments

Balance of Payments I: the Gains From Financial Globalization

Balance of Payments II: Output, Exchange Rates, and Macroeconomic Policies in the Short Run

Fixed Versus Floating: International Monetary Experience

Exchange Rate Crises: How Pegs Work and How They Break

The Euro

Topics in International Macroeconomics

Filters

A large nation faces a(n) foreign export supply curve, rather than a(n) foreign export supply curve.