If the United States is currently importing 14 million barrels per day at a world price of $4.00 per unit (the entire amount consumed), what is the effect on imports of a tax equal to $4.00 per unit? 1.) Using the line drawing tool, help determine the quantity of U.S. crude oil imports after the $4.00 per-unit tax by drawing a horizontal line at the price paid by U.S. consumers. Label this line + Tax'. 2.) Using the point drawing tool, determine quantity demanded at the price paid by U.S. consumers after the imposition of the import tax. Label this line 'Pop'. 3.) Using the point drawing tool, determine quantity supplied at the price paid by U.S. consumers after the imposition of the import tax. Label this line "Pas". Carefully follow the instructions above and only draw the required objects. The amount of imports after the $4.00 per-unit tax is million barrels per day. Before the tax, domestic producers supplied 0 barrels of crude oil. They now supply million barrels Price per barrel ($) 407 36- 32- 28- 12- U.S. Market for Crude Oil, 1980s Imports before the tax Pos Sus. Edit coordinates (20,4) 50 12566 Of T 0 1 2 3 4 5 6 7 8 9 1011121314151617181920 Millions of barrels per day

If the United States is currently importing 14 million barrels per day at a world price of $4.00 per unit (the entire amount consumed), what is the effect on imports of a tax equal to $4.00 per unit? 1.) Using the line drawing tool, help determine the quantity of U.S. crude oil imports after the $4.00 per-unit tax by drawing a horizontal line at the price paid by U.S. consumers. Label this line + Tax'. 2.) Using the point drawing tool, determine quantity demanded at the price paid by U.S. consumers after the imposition of the import tax. Label this line 'Pop'. 3.) Using the point drawing tool, determine quantity supplied at the price paid by U.S. consumers after the imposition of the import tax. Label this line "Pas". Carefully follow the instructions above and only draw the required objects. The amount of imports after the $4.00 per-unit tax is million barrels per day. Before the tax, domestic producers supplied 0 barrels of crude oil. They now supply million barrels Price per barrel ($) 407 36- 32- 28- 12- U.S. Market for Crude Oil, 1980s Imports before the tax Pos Sus. Edit coordinates (20,4) 50 12566 Of T 0 1 2 3 4 5 6 7 8 9 1011121314151617181920 Millions of barrels per day

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter34: Globalization And Protectionism

Section: Chapter Questions

Problem 2SCQ: Explain how a subsidy on agricultural goods like sugar adversely affects the income of foreign...

See similar textbooks

Similar questions

If the United States is currently importing 14 million barrels per day at a world price of $4.00 per unit (the entire amount consumed), what is the effect on imports of a tax equal to $8.00 per unit? Quantity of Barrels Supplied (Millions) Quantity of Barrels Demanded (Millions) 0 2 4 6 8 10 12 The amount of imports after the $8.00 per-unit tax is responses as a whole number.) ges Price per Barrel Get more help. $4 8 Using the table above, after the imposition of the $8.00 per-unit tax, the new quantity supplied is 4 million barrels and the new quantity demanded is 12 million barrels. (Enter your responses as a whole number.) 12 16 20 24 28 14 13 12 11 10 9 8 million barrels per day. Before the tax, domestic producers supplied 0 barrels of crude oil. They now supply million barrels Clear all (Enter your more less Check answer (e)
Suppose that the world price of oil is $70 per barrel and that the United States can buy all the oil it wants at this price. Suppose also that the demand and supply schedules for oil in the United Sta follows: Price ($ per Barrel) 55 60 65 70 75 U.S. Quantity Demanded 26 24 22 20 18 U.S. Quantity Supplied 14 16 18 20 22 Now suppose that the United States allows no oil imports. The equilibrium price in the United states is $ 70 per barrel and the equilibrium quantity is 20 million barrels. If the United States imposed a price ceiling of $65 per barrel on the oil market and prohibited imports, there would be an of million barrels of oil. excess supply excess demand
If the United States is currently importing 14 million barrels per day at a world price of $4.00 per unit (the entire amount consumed), what is the effect on imports of a tax equal to $12.00 per unit? Quantity of Barrels Supplied Quantity of Barrels Demanded Price per Barrel (Millions) (Millions) $4 0 14 8 2 13 12 4 12 16 6 11 20 8 10 24 28 10 12 9 8 Using the table above, after the imposition of the $12.00 per-unit tax, the new quantity supplied is million barrels and the new quantity demanded is ☐ million barrels. (Enter your responses as a whole number.)
00 7 F. PRICE (Dollars per ton) 4. Effects of a tariff on international trade The following graph shows the domestic supply of and demand for soybeans in Honduras. The world price (Pw) of soybeans is $530 per ton and is represented by the horizontal black line. Throughout the question, assume that the amount demanded by any one country does not affect the world price of soybeans and that there are no transportation or transaction costs associated with international trade in soybeans. Also, assume that domestic suppliers will satisfy domestic demand as much as possible before any exporting or importing takes place. 2. Domestic Demand Domestic Supply 770 740 710 680 650 620 06 P, 530 MacBook Pro Search or type URL 4. 51 9.
If the United States is currently importing 14 million barrels per day at a world price of $4.00 per unit (the entire amount consumed), what is the effect on imports of a tax equal to $4.00 per unit? Price per Barrel $4 8 12 16 20 24 28 Quantity of Barrels Supplied (Millions) ON 46 0 2 8 10 12 Quantity of Barrels Demanded (Millions) 14 13 12 11 10 9 8 Using the table above, after the imposition of the $4.00 per-unit tax, the new quantity supplied is million barrels. (Enter your responses as a whole number.) million barrels and the new quantity demanded is
Explain how a subsidy on agricultural goods like sugar adversely affects the income of foreign producers of imported sugar.
0 suppliers will satisfy domestic demand as much as possible before any exporting or importing takes place 905Domestic Demand Domestic Supply 0 50 100 150 200 250 300 350 400 450 500 QUANTITY (Tons of soybeans) If Colombia is open to international trade in soybeans without any restrictions, it will import tons of soybeans Suppose the Colombian government wants to reduce imports to exactly 100 tons of soybeans to help domestic producers. A tariff of $ 0 will achieve this A tariff set at this level would raise $ in revenue for the Colombian government
Assume that you have been hired by an International Organization to be consulted on variousissues that the country Motherland faces. For this exercise, assume that Motherland is a smallagricultural economy. (a) Motherland imports electronics from the United States. The government of Motherland is considering to impose quotas on these electronics imports coming from the United States. Would you recommend it? Explain your answer. In your explanation, distinguish the effect on the consumers of electronics, the domestic producers of electronics and the government. (b)The government of Motherland wants to jump start industrial production. Over time the main objective is to convert this agricultural economy into an industrial nation. On the basis of the experiences of Argentina and Singapore, what policies would you suggest?
consider the domestic demand for apples to be given by Qd= 25-0.5P and that apples can be imported at an international price of $40 per basket. if the government percieves this price to be too high and decides to subsidize imports by $20 per basket. this policy will increase the imports of apples by ____ and create a deadweight loss of ____. a) 5 units, $20 b) 20 units, $800 c) 15 units, $50 d) 10 units, $100
If the United States is currently importing 14 million barrels per day at a world price of $4.00 per unit (the entire amount consumed), what is the effect on imports of a tax equal to $8.00 per unit? Price per Barrel Quantity of Barrels Supplied (Millions) Quantity of Barrels Demanded (Millions) $4 0 14 8 12 16 20 24 28 Using the table above, after the imposition of the $8.00 per-unit tax, the new quantity supplied is number.) 2 4 6 8 10 12 13 12 11 10 9 8 million barrels and the new quantity demanded is million barrels. (Enter your responses as a whole
Assume that the United States, as a steel-importing nation, is large enough so that changes in the quantity of its imports influence the world price of steel. The following table shows the U.S. supply and demand schedules for steel, along with the overall amount of steel supplied to U.S. consumers by domestic and foreign producers. Price (Dollars per ton) 100 200 300 400 PRICE (Dollars per ton) 800 700 600 500 400 300 200 100 500 600 700 0 0 2 Using the data in the table, use the blue points (circle symbol) to plot the demand curve and use the orange points (square symbol) to plot the supply curve (domestic plus imports) on the following graph. Then use the black cross to indicate the equilibrium price and quantity. ? 6 (Domestic) 0 0 1 2 3 5 Quantity Supplied The new equilibrium is (Domestic plus Imports) 0 8 10 12 14 16 18 20 QUANTITY (Tons of steel) With free trade, the equilibrium price of steel is $ 4 8 12 16 20 24 tons are supplied by U.S. producers, and tons are imported.…
2. In contrast to strawberries, Canada is a major exporter of wheat. Canada's demand (QPCDN) and supply (QScdn) of wheat is given respectively by QPCDN = 420 – 30 PCDN Where P is the price per bushel of wheat. and QSCDN = 150 + 15 PCDN - a) Derive the excess supply curve of wheat for Canada. b) What will be the price at which Canada does not export wheat? c) China is the major importer of Canadian wheat. Its demand (QPH) and supply (Q°H) for wheat is given respectively by QSH = 170 + 5 PH Derive the excess demand curve for wheat in China. ( QPH = 500 – 10 PH and %3D - d) What would wheat price be in China in the absence of trade? e) If Canada and China are allowed to trade with one another, what will be the price and the volume of trade? ( f) The trade war has heated up and China imposes a tariff of $2.40 per bushel. Determine the effect of the tariff on: (1) the price of wheat in each country, (2) the quantity of wheat produced and consumed in each country, and (3) the volume of…