The Figure Given Below Shows the Domestic Demand (D_d) and Supply

question 24

Multiple Choice

The figure given below shows the domestic demand (D_d) and supply (S_d) curves of mopeds in a country before an import quota is imposed by the government. After the imposition of quota, the total available supply curve becomes S_d + Q_Q. After the quota is imposed, the domestic consumers:

• A)gain $7.5 million.
• B)lose $21.25 million.
• C)lose $82.5 million.
• D)gain $97.75 million.

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