(Please help answer a-g and provide explanations as well as how to graph)

Suppose that Egypt and Israel form a customs union. The common external tariff assessed on wheat from outside the bloc is $0.50. The demand for wheat in Egypt is Q = 100 - 20P . The supply of wheat in Egypt is Q = 20 + 20P . The U.S. supplies wheat inelastically at $1.50, while Israel supplies wheat inelastically at $1.75.

a. Calculate the autarky equilibrium price and equilibrium quantity of wheat in Egypt.

b. Plot the supply and demand curves for wheat in Egypt ion the diagram below.

c. On the same diagram, draw the S(U.S.) and S(Israel) and S(U.S.+tariff) and S(Israel+tariff) lines.

d. Indicate the area that represents trade creation effect and the area that represents trade diversion effect on the graph.

Egyptian Wheat Market 5.00 4.50 4.00 3.50 3.00 2.50 2.00 1.50 Price 1.00 0.50 0.00 -0.50 -1.00 -1.50 -2.00 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100 Quantity