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

question 29

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 by the government, the domestic producers:

• A)lose $2.5 million.
• B)gain $27.5 million.
• C)gain $42.5 million.
• D)lose $80 million.

---

Definitions:

Strategic Planning

The procedure of defining a business's direction and making decisions on allocating its resources to pursue this direction.

Convert Weaknesses

Convert Weaknesses is a strategic approach aimed at identifying and transforming limitations or disadvantages of a business into strengths or competitive advantages.

Key Threats

Primary external challenges or obstacles that could negatively impact an organization's ability to achieve its strategic objectives.

Limitations

Restrictions or constraints that impact the scope, effectiveness, or outcomes of a project, research study, or business strategy.