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question 20

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Use the following to answer questions:
Figure: The Domestic Market for Digital Cameras Use the following to answer questions: Figure: The Domestic Market for Digital Cameras   -(Figure: Domestic Market for Digital Cameras)  Look at the figure The Domestic Market for Digital Cameras. Assume that P<sub>A</sub> is the autarky price and P<sub>W</sub> is the world price. Total surplus after international trade _____ by the area _____. A) rises; B + D + E B) falls; C C) rises; C D) rises; D + E
-(Figure: Domestic Market for Digital Cameras) Look at the figure The Domestic Market for Digital Cameras. Assume that PA is the autarky price and PW is the world price. Total surplus after international trade _____ by the area _____.


Definitions:

Percentage Less

The reduced amount expressed as a fraction of a hundred.

Sales

The exchange of goods or services for money, constituting the primary source of revenue for most businesses.

Percent Change

The percentage difference between two values, indicating the degree of increase or decrease.

Unit Price

The price of a single unit of a product, used for comparison between different sizes or quantities.

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