Please answer and fill out the graphs

3 (Ch 04) 5. Effects of a tariff in a small nation Suppose Venezuela is open to free trade in the world market for soybeans. Because of Venezuela's small size, the demand for and supply of soybeans in Venezuela do not affect the world price. The following graph shows the domestic soybeans market in Venezuela. The world price of soybeans is Pw = $400 per ton. Throughout this problem, assume that changes in trade policies in other nations do not significantly affect the world market for soybeans and that there are no transportation or transaction costs associated with international trade in soybeans. Also assume that domestic supplies will satisfy domestic demand as much as possible before any exporting or importing takes place. On the following graph, use the green triangle (triangle symbols) to shade the area representing consumer surplus (CS) when the economy is at the free-trade equilibrium. Then, use the purple triangle (diamond symbols) to shade the area representing domestic producer surplus (PS). 1300 Domestic Demand Domestic Supply 1200 1100 CS 1000