Aquilonia Has Decided to End Its Policy of Not Trading

question 91

Multiple Choice

Aquilonia has decided to end its policy of not trading with the rest of the world.When it ends its trade restrictions,it discovers that it is importing incense,exporting steel,and neither importing nor exporting rugs.We can conclude that Aquilonia's new free-trade policy has

• A)increased consumer surplus and producer surplus in the incense market.
• B)increased consumer surplus in the steel market and left producer surplus in the rug market unchanged.
• C)decreased consumer surplus in both the steel and rug markets.
• D)decreased consumer surplus in the steel market and increased total surplus in the incense market.

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Definitions:

Potassium Wasting

A condition where the body excretes an excessive amount of potassium, leading to low levels of potassium in the blood.

Gastroenteritis

An inflammation of the stomach and intestines, usually resulting from bacterial toxins or viral infection and causing vomiting and diarrhea.

Arterial Blood Gas

A test measuring the levels of oxygen, carbon dioxide, and bicarbonate, as well as the pH of arterial blood, used to assess lung function and oxygenation status.

Urine Output

The amount of urine produced by the kidneys and excreted by the body, an important measure in assessing kidney and overall fluid balance status in patients.