Commodities post big drop World commodity prices have fallen in the past six weeks. Crude oil prices dropped 7%, beef prices fell 5%, and corn prices fell 4%. Source: Global Commodity Watch, June 15, 2011 The United States imports crude oil and exports beef. How do the price changes reported here change the U.S. gains from trade in each good and the distribution of those gains? Question content area bottom Part 1 The fall in the price of crude oil _______ U.S. consumer surplus and _______ U.S. producer surplus. A. increases; increases B. does not change; does not change C. decreases; increases D. decreases; decreases E. increases; decreases Part 2 In the market for crude oil, U.S. total surplus _______. A. decreases B. increases C. remains unchanged Part 3 The fall in the price of wheat _______ U.S. consumer surplus and _______ U.S. producer surplus. A. decreases; increases B. increases; increases C. does not change; does not change D. decreases; decreases E. increases; decreases Part 4 In the market for wheat, U.S. total surplus _______. A. increases B. remains unchanged C. decreases