(Figure: Home's Exporting Industry I) the Graph Shows Information About

question 36

Multiple Choice

(Figure: Home's Exporting Industry I) The graph shows information about a small home exporter. D is home demand and S is home supply. According to the graph, the deadweight loss from the $50 export subsidy is:

• A) $500.
• B) $1,000.
• C) $1,500.
• D) $2,500.

---

Definitions:

Spillover Hypothesis

A theory suggesting that the emotions, attitudes, and behaviors experienced in one area of life can transfer to, and affect, another area.

Knowledge Carryover

The application of knowledge or skills learned in one context to a new context.

Group Harmony

The state of peaceful and productive coexistence within a group, prioritizing collective wellbeing and minimizing conflicts.

Heinz Dilemma

A moral dilemma used in psychological studies to explore moral reasoning, in which a person must decide whether to steal medicine to save someone's life.