Question: Consider two countries, home and foreign and a single good, Y. Assume that home country imports good Y fromforeign country. The import demand curve for

Consider two countries, home and foreign and a single good, Y. Assume that home country imports good Y fromforeign country. The import demand curve for good Y in home country is given by: MD = 170 2pY and theexport supply curve for good Y in Foreign country is given by: EX = PY- 40 1. If home country imposes a specific tariff of $15 per unit of good Y imported, what is the price of good Y that Home consumers pay? Show your work 2. If home country imposes a specific tariff of $15 per unit of good Y imported, how many units of good Y are traded now? Show your work 3. If home country imposes a specific tariff of $15 per unit of good Y imported, what is the tariff revenue? Show your work

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