Figure 9-14

Multiple Choice

Figure 9-14.On the diagram below,Q represents the quantity of crude oil and P represents the price of crude oil.
-Refer to Figure 9-14.A result of this country allowing international trade in crude oil is as follows:

A) The well-being of domestic crude-oil producers is now higher in that they now sell more crude oil at a higher price per barrel.
B) The effect on the well-being of domestic crude-oil consumers is unclear in that they now buy more crude oil,but at a higher price per barrel.
C) The effect on the well-being of the country is unclear in that domestic producer surplus increases,while the effect on domestic consumer surplus is unclear.
D) All of the above are correct.