Use the Following to Answer Question

question 226

Multiple Choice

Use the following to answer question:
-(Figure: The Market for Beats by Dre) Use Figure: The Market for Beats by Dre.Assume that S_d represents the domestic supply curve and D_d represents the domestic demand curve.If the world price equals $100 and there is free trade,domestic consumer surplus _____ and domestic producer surplus _____ compared with autarky.

• A)increases;decreases
• B)increases;increases
• C)decreases;increases
• D)decreases;decreases

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Definitions:

Pathogenic

Pertaining to an organism or substance that causes disease.

Vibrio Cholerae

The bacterium that causes cholera, a severe diarrheal illness, through the production of a toxin that affects the absorption of water in the small intestine.

Lactobacillus

A genus of bacteria that is part of the lactic acid bacteria group, often found in yogurt and other fermented foods, beneficial for gut health.

Ferment Sugars

The biochemical process by which organisms convert sugars into alcohol or acid through anaerobic metabolism, often used in food production.