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-Refer to Exhibit 34-3

Question 29

Multiple Choice

-Refer to Exhibit 34-3.The world price is P<sub>W</sub>.If a tariff is imposed the price rises to P<sub>W</sub> + T.Because of the tariff,consumers' surplus is reduced by an amount equal to the area of A) 1 + 2 + 3. B) 1 + 2. C) 1 + 2 + 3 + 4. D) 3 + 4. E) 2 + 3 + 4.
-Refer to Exhibit 34-3.The world price is PW.If a tariff is imposed the price rises to PW + T.Because of the tariff,consumers' surplus is reduced by an amount equal to the area of


A) 1 + 2 + 3.
B) 1 + 2.
C) 1 + 2 + 3 + 4.
D) 3 + 4.
E) 2 + 3 + 4.

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