The Following Figure Shows the Demand Curve, D, and the Supply

question 226

Multiple Choice

The following figure shows the demand curve, D, and the supply curve, S, for calculators in Barylia. The world price of calculators is $40.

-Refer to the figure above.Which of the following explains the impact on the domestic buyers and sellers when the country opens to free trade?

• A) Both the domestic sellers and buyers are made worse off.
• B) Both the domestic sellers and buyers gain.
• C) The domestic sellers lose, but the domestic buyers gain.
• D) The domestic sellers gain, but the domestic buyers lose.

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Definitions:

Major Organic Product

The principal compound resulting from an organic chemical reaction, often the one present in the greatest amount or yield.

Reaction

An operation in which different substances amalgamate, producing new variants with altered traits.

Dipropyl Ether

An organic compound that is a type of ether in which two propyl groups are attached to the same oxygen atom.

Cleavage

The breaking or splitting of a chemical bond in a molecule, leading to the formation of two or more smaller molecules or fragments.