The Demand for Shoes in a Country Is Given by D

question 27

Multiple Choice

The demand for shoes in a country is given by D = 60 - 0.5P,where P is the price of a pair of shoes.Supply by domestic producers is given by S = 20 + 0.5P.The world price of a pair of shoes equals $30 and this economy is open to trade.If a tariff of $4 per pair is placed on shoe imports,the quantity of shoes produced domestically will change from ________ pairs with no tariff to ________ pairs with the tariff.

• A) 35;40
• B) 35;37
• C) 40;35
• D) 40;37
• E) 37;40

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Definitions:

Dependent Variable

In an experimental study, it is the variable being tested and measured, expected to change as a result of manipulations to the independent variable.

Independent Variable

A variable in an experiment that is manipulated or changed by the researcher to study its effects on the dependent variable.

Extraneous Variable

A variable that is not of interest in a study but may affect the outcome of the experiment if not controlled.

Control Group

In research, a control group is a group of subjects not exposed to the experimental treatment, used as a benchmark to measure the effect of the treatment.