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Question 114

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Figure: Trade Use the following to answer questions: Figure: Trade   -(Figure: Trade)  Refer to the figure. If the world price for the good in this figure were higher than the domestic price, a move to free international trade means that the domestic economy would become: A)  a net importer of the good. B)  a net exporter of the good. C)  neither a net importer nor a net exporter of the good. D)  either a net importer or a net exporter of the good but it is impossible to say which.
-(Figure: Trade) Refer to the figure. If the world price for the good in this figure were higher than the domestic price, a move to free international trade means that the domestic economy would become:


A) a net importer of the good.
B) a net exporter of the good.
C) neither a net importer nor a net exporter of the good.
D) either a net importer or a net exporter of the good but it is impossible to say which.

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