The demand for Natural Gas in country J is Q = 1000 - 2P. Production of...

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The demand for Natural Gas in country J is Q = 1000 - 2P. Production of Natural Gas in country J is described by the supply function: Q 2PJ 200. (Note: the supply is not the same as the previous question). The demand for Natural Gas in country A is Q = 300-PA and the supply of Natural Gas in country A is Q = PA (Note: the demand is not the same as the previous question). A A = (a) Find the free-trade equilibrium price of Natural Gas and the volume that is traded. (b) The government in country J sets a specific tariff on natural gas imports: t = $50. Determine the new quantity of natural gas imported by country J and the price of natural gas in each country. (c) For the tariff in part (6) determine the changes to welfare in both country J and country A (changes relative to free trade). (d) Instead of the tariff specified in part (6) find a specific export tariff that country A can place on exports of natural gas, e that will lead to the same volume of trade as the import tariff in part (b). (e) For the export tariff in part (d), determine the changes to welfare in both country J and country A (changes relative to free trade). The demand for Natural Gas in country J is Q = 1000 - 2P. Production of Natural Gas in country J is described by the supply function: Q 2PJ 200. (Note: the supply is not the same as the previous question). The demand for Natural Gas in country A is Q = 300-PA and the supply of Natural Gas in country A is Q = PA (Note: the demand is not the same as the previous question). A A = (a) Find the free-trade equilibrium price of Natural Gas and the volume that is traded. (b) The government in country J sets a specific tariff on natural gas imports: t = $50. Determine the new quantity of natural gas imported by country J and the price of natural gas in each country. (c) For the tariff in part (6) determine the changes to welfare in both country J and country A (changes relative to free trade). (d) Instead of the tariff specified in part (6) find a specific export tariff that country A can place on exports of natural gas, e that will lead to the same volume of trade as the import tariff in part (b). (e) For the export tariff in part (d), determine the changes to welfare in both country J and country A (changes relative to free trade).

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Natural Gas Market Analysis a FreeTrade Equilibrium 1 Find the Equilibrium Price In a free market demand equals supply domestic consumption equals domestic production importsexports For Country J QJD ... View the full answer