Questions-Answers about trading

When a country allows international trade and becomes an exporter of a good,

Trade

When a nation first begins to trade with other countries and the nation becomes an exporter of corn?

11. When a nation first begins to trade with other countries and the nation becomes an importer of corn,a. this is an indication that the world price of corn exceeds the nation’s domestic price of corn in the absence of trade.

When a country allows trade and becomes an importer of steel?

When a country allows trade and becomes an importer of steel, the gains of the winners exceed the losses of the losers.

When a country allows trade and becomes an importer of a good what happens to consumer and producer surpluses?

So the total surplus increases with trade. Two conclusions can be drawn: When a country allows trade and becomes an importer of a good, domestic consumers of the good are better off than without trade and domestic producers are worse off.

When a country adopts free trade and becomes a net exporter of a good the domestic price?

When a country adopts free trade and becomes a net exporter of a good, that good: becomes more expensive for domestic consumers. international buyers: only if international buyers have few substitutes for the domestic good.

When a country allows trade and becomes an importer of bottled water?

“When a country allows trade and becomes an importer of bottled water, which of the following is not a consequence?” A: The gains of domestic consumers of bottled water exceed the losses of domestic producers of bottled water.

When a country that imported a particular good?

When a country that imported a particular good abandons a free-trade policy and adopts a no-trade policy, producer surplus increases and total surplus decreases in the market for that good. the gains of the winners exceed the losses of the losers. the gains of the winners exceed the losses of the losers.

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When the nation of Venezia allows trade and as a result becomes an exporter of shoes?

When the nation of Venezia allows trade and as a result becomes an exporter of shoes, A residents who produce shoes become worse off; residents who buy shoes become better off; and the economic well-being of Venezia rises.

What determines whether a country imports or exports a good?

A low domestic price indicates that the country has a comparative advantage in producing the good and that the country will become an exporter. A high domestic price indicates that the rest of the world has a comparative advantage in producing the good and that the country will become an importer.

When a country allows trade and becomes an importer of jet skis?

When a country allows trade and becomes an importer of jet skis, domestic producers of jet skis are worse off, domestic consumers of jet skis are better off and the economic well being of the country rises. has a comparative advantage in coffee and should export coffee.

How do you calculate total surplus?

Hence, the total surplus = the total area for the consumer surplus plus the total area for the producer surplus. Consumer surplus = the area above the market price and below the demand curve, while producer surplus = the area below the market price but above the supply curve.

What is consumer surplus and producer surplus before trade is allowed?

Before trade is allowed, the price of steel adjusts to balance domestic supply and domestic demand. Consumer surplus, the area between the demand curve and the before-trade price, is area A + B. … Producer surplus is increased to area B + C + D (the area between the supply curve and the world price).

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When a country allows trade and becomes an exporter of a good group of answer choices?

When a country allows international trade and becomes an exporter of a good, domestic producers of the good become better off. domestic consumers of the good become worse off. the gains of the winners exceed the losses of the losers.

Why does economic growth require job destruction?

Why does economic growth require job destruction? Economic growth requires international trade, which has been proven to cause short-term job loss. … Excessive job creation can destroy economic growth. When economic growth occurs, there are not enough resources left over for worker retraining and re-education programs.

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