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Graph 9-12 -Using Graph 9-12, Answer the Following Questions About Chairs

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Graph 9-12
Graph 9-12    -Using Graph 9-12, answer the following questions about chairs. a. What is the equilibrium price of chairs before trade? b. What is the equilibrium quantity of chairs before trade? c. What is the price of chairs after trade is allowed? d. What is the quantity of chairs exported? e. What is the amount of consumer surplus before trade? f. What is the amount of consumer surplus after trade? g. What is the amount of producer surplus before trade? h. What is the amount of producer surplus after trade? i. What is the change in total surplus because of trade?
-Using Graph 9-12, answer the following questions about chairs.
a. What is the equilibrium price of chairs before trade?
b. What is the equilibrium quantity of chairs before trade?
c. What is the price of chairs after trade is allowed?
d. What is the quantity of chairs exported?
e. What is the amount of consumer surplus before trade?
f. What is the amount of consumer surplus after trade?
g. What is the amount of producer surplus before trade?
h. What is the amount of producer surplus after trade?
i. What is the change in total surplus because of trade?

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Definitions:

Caste System

A traditional social system in certain societies where people are divided into distinct ranks and classes from which it is difficult or impossible to move from one class to another.

Salaries

Periodic payments made by employers to employees, usually monthly or biweekly, in return for the performance of work.

Income

The money received, typically on a regular basis, for work or through investments.

Government Assistance

Programs or financial aid provided by the government to individuals, businesses, or other entities in need of support.

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