Refer to the Figure Above

question 27

Multiple Choice

Refer to the figure above. The graph represents consumers and suppliers in a country that relies on imports. Curve D is domestic demand, Curve S is domestic supply and Curve I is the import supply curve. The import supply curve is horizontal because

• A) the world produces a relatively small amount of this good.
• B) no matter how much this country buys, their demand does not impact world price.
• C) this is a renewable good, for which there is no shortage.
• D) all of the above.

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Definitions:

National Labor Union

A historic labor federation in the United States, founded in 1866, that aimed to unify workers across different trades to fight for labor reforms.

Trades

Occupations that typically require specialized skills and knowledge, learned through on-the-job experience or formal training, often involving manual work and craftsmanship.

Crafts

Relates to activities involving skill and artisanship in the creation of handmade goods or the execution of specialized work, often emphasizing traditional techniques.

AFL

The American Federation of Labor, a historic federation of labor unions in the United States, founded to represent the interests of laborers.