Question: Pipe organs are both domestically manufactured and imported. Demand (E) for these domestic instruments can be found in the following equation where P is the

Pipe organs are both domestically manufactured and imported. Demand (E) for these domestic instruments can be found in the following equation where P is the price of the product (in thousands of euros) and Q is its quantity: = = - . The supply (F) of domestic organs on organs is according to the following equation = = + and world market prices is 15 euros per organ.

1) You already solved this part. SO DONT SOLVE THIS PART !!:) (Find based on international trade: a. produced domestic quantity b. sold quantity & price d. imported quantity e. producer Surplus & consumer Surplus g. the total profit of the transaction , h. welfare loss ) !dont solve this part, it's done.

Please solve the following questions.

2) If the government prevents international trade, what will then be ...

a. produced domestic quantity

b. sold quantity & price

d. consumer Surplus & producer Surplus

f. the total profit of the transaction

g. welfare loss?

3) What happens if the government imposes a 3 euro customs duty (taxes) on each imported unit based on the situation in item 1)

a. produced domestic quantity b. sold quantity c. price ?

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