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(Figure: Home's Exporting Industry II) the Graph Shows the Effect

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(Figure: Home's Exporting Industry II) The graph shows the effect of a subsidy on a large country. D describes home demand and S describes home supply. (Figure: Home's Exporting Industry II)  The graph shows the effect of a subsidy on a large country. D describes home demand and S describes home supply.   According to the figure, if the world price of the product is $100, the home demand for the product is _____ and the exports are ______. A)  25; 125 B)  25; 25 C)  50; 75 D)  25; 75 According to the figure, if the world price of the product is $100, the home demand for the product is _____ and the exports are ______.


Definitions:

Depository Institutions

Financial institutions that accept deposits from the public, such as banks, credit unions, and savings and loan associations.

Money Supply

The total amount of money—cash, coins, and balances in bank accounts—in circulation within a country's economy at a specific time.

Prime Rate

The interest rate that commercial banks charge their most credit-worthy customers, often used as a reference for setting various interest rates.

Great Recession

A severe global economic downturn that occurred from late 2007 through mid-2009, marked by significant declines in housing prices and increased unemployment rates.

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