Question

22.Please give clear Answer for BOTH questions Thank you I will thumbs up!

The accompanying table shows the U.S. domestic demand schedule and domestic supply schedule for oranges. Suppose that the world price of oranges is $0.30 per orange. Quantity of oranges demanded (thousands) Quantity of oranges supplied (thousands) 11 10 Price of orange $1.00 0.90 0.80 0.70 0.60 0.50 0.40 0.30 0.20 Suppose that the U.S. government imposes a tariff on oranges of $0.20 per orange. How many oranges will the United States import or export after introduction of the tariff? The United States will import 9,000 oranges. The United States will import 3,000 oranges. The United States will import 6,000 oranges. The United States will import 12,000 oranges. O

Question 2.

Answer 1

After the tariff is imposed the price will be 0.50

At this price the quantity demanded is is 12000 while the quantity supplied is 6000. Therefore imports are 6000 of oranges.

as a result of tariff there is a reduction in consumer surplus and an increase in producer surplus. But overall there is a reduction in National welfare

Question 1: 6000 oranges

Question 2: economy experiences a loss.