Asked by
Chris Baggs
on Nov 12, 2024
Verified
The following graph shows the demand for and domestic supply of a good in a country.If the country decides to trade,then at a world price of $1.00 _____.
A) 20 units will be exported
B) 20 units will be imported
C) 50 units will be exported
D) 50 units will be imported
E) 10 units will be exported
World Price
The international market price of a good or service, influenced by global supply and demand conditions.
Domestic Supply
The total amount of goods and services provided by a country's own economy without importing from other countries.
Imported
Describes goods or services brought into one country from another for sale, usually regulated by import quotas and tariffs.
- Understand the effects of international trade on a country's net imports or exports based on world price and domestic demand and supply.
Verified Answer
JM
Learning Objectives
- Understand the effects of international trade on a country's net imports or exports based on world price and domestic demand and supply.