Question: https://www.coursehero.com/qa/attachment/17242117/ The model (graph) below represents a small country trade of good X after the government decided to impose tariffs on import. Consider the case
https://www.coursehero.com/qa/attachment/17242117/
The model (graph) below represents a small country trade of good X after the government decided to impose tariffs on import. Consider the case of trade after tariffs. Please answer the following questions:
- What area(s) represent the gain of surplus to producers?
- What area(s) represent government revenue?
- What area(s) represent the loss of surplus to consumers?
- What area(s) represent consumers surplus?
- What's the quantity imported?
- Describe the impact of a tariff on social welfare. Refer to the graph to support your answer.
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