9 Effects Of A Tariff On International Trade The Following Graph Shows The Domestic Supply Of And Demand For Soybeans I 1 (29.68 KiB) Viewed 26 times
9 Effects Of A Tariff On International Trade The Following Graph Shows The Domestic Supply Of And Demand For Soybeans I 2 (19.77 KiB) Viewed 26 times
9. Effects of a tariff on international trade The following graph shows the domestic supply of and demand for soybeans in Colombia. The world price (Br) of soybeans is $545 per ton and is represented by the horrontal black line. Throughout the question, assume that the amount demanded by any one country does not affect the world price of soybeans and that there are no transportation or transaction costs associated with international trade in soybeans. Also, assume that does suppliers will satisfy domestic demand as much as possible before exporting or importing takes place Use the graph input tool to help your answer the following question. You will not be graded on any changes you make this grap Note: Once you enter value in a white field, the graph and any corresponding amounts in each grey field will change accordingly, Graph Input Tool 095 Market for Soybeans in Colombia Supply 790 Torrow Domestic Demand Thousands of cons osobe 40 Domestic Supply Thousands of som 00 75 PR CE Dolapetan Tas 1 695 1 Demand 1 1 ses
796 PE re Domestic Demand Thousands of 40 795 Dome Supply th wand 00 FRCE Desert 745 1 645 1 1 595 Doma 1 1 w 01020500100 QUANTITY (Thousands of tons of soybeans) If Colombia is open to international trade in soybeans without any restrictions, it will import tons of soybeans • Suppose the Colombian government wants to reduce imports to exactly 20,000 tons of soybeans to help domestic producers A tariff of 5 per ton will achieve this A tariff set at this level would raises in revenue for the Colombian government
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