Multiple Choice
Given the following diagram showing country A's demand for imports schedule for good (Dimports) , the supply of exports schedule to A from the rest of the world of good X (SROW) , and the supply of exports schedule to A from the rest of the world of good X when country A has imposed a specific tariff on imports of good X (S'ROW) :
price
quantity
A) The total tariff revenue collected by country A is indicated by the rectangle P0P1E'H.
B) Distance OP2 indicates the net price received by the foreign suppliers after payment of the tariff.
C) The loss of consumer surplus in country A because of the imposition of the tariff is
indicated by rectangle P2P0HG.
D) Country A is a "small" country.
Correct Answer:

Verified
Correct Answer:
Verified
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