Refer to the Accompanying Table for a Certain Product's Market

question 122

Multiple Choice

Refer to the accompanying table for a certain product's market in Econland. If the world price of the product were $6 and an import quota of 400 units were imposed on the product, then the equilibrium price in Econland would be

• A)$6 and the total quantity available in Econland would be 2,200 units.
• B)$6 and the total quantity available in Econland would be 1,800 units.
• C)$7 and the total quantity available in Econland would be 2,000 units.
• D)$7 and the total quantity available in Econland would be 1,800 units.

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Definitions:

Salesperson

is an individual who sells goods or services, often working on behalf of a company, and is typically compensated via salary, commission, or a combination of both.

Waive Warranties

The act of relinquishing one's right to enforce certain guarantees about the quality or functionality of a product or service.

Implied And Express Warranties

Guarantees provided by a seller, with the former being understood though not explicitly stated and the latter clearly stipulated in a contract or agreement.

Examine Goods

The process of inspecting or testing products to verify their condition, quality, or compliance with specifications.