We Find That the World Price of Sugar Is 20

question 226

Multiple Choice

We find that the world price of sugar is 20 cents a pound,the U.S.does not trade internationally,and the U.S.equilibrium price of sugar is 30 cents a pound.If the U.S.begins to trade internationally,the price of sugar in the U.S.________ to the world price and U.S.consumers buy ________ sugar.

• A) falls; more
• B) falls; less
• C) rises; more
• D) rises; less
• E) falls; no

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