This Graph Demonstrates the Domestic Demand and Supply for a Good,as

question 38

Multiple Choice

This graph demonstrates the domestic demand and supply for a good,as well as a tariff and the world price for that good.
According to the graph shown,if the economy were to open to free trade,it would become:

• A)a net-importer.
• B)a net-exporter.
• C)an autarky.
• D)None of these is true.

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Definitions:

Balance Sheet

A financial statement that provides a snapshot of a company's financial position at a specific point in time, outlining assets, liabilities, and shareholders' equity.

Current Asset

An asset that can reasonably be expected to be converted into cash, sold, or consumed within one year or the operating cycle, whichever is longer.

Fixed Asset

A fixed asset is a long-term tangible piece of property or equipment that a firm owns and uses in its operations to generate income, and is not expected to be consumed or converted into cash within a year.

Usefulness

The degree to which something serves a practical purpose or satisfies a need.