经济学原理对应练习09

ANS: D PTS: 1 DIF: 1REF: 9-1TOP: I nternatio nal trade | Prices MSC: Defini tio nal 345Chapter 9Application: International Trade Multiple Choice1. An importa nt factor in the decli ne of the U.S. textile in dustry over the past 100 or so years isa. foreign competitors that could produce quality textile goods at low cost.b. lower prices of goods that are substitutes for clothing.c. a decrease in America ns ' dema nd for clothi ng, due to in creased in comes and the fact that clothi ng is an in feriorgood.d. the fact that the mini mum wage in the U.S. has failed to keep pace with the cost of livi ng.ANS: A PTS: 1 DIF: 1 REF: 9-0TOP: I nternatio nal trade MSC: I nterpretive2. With which of the Ten Principles of Economics is the study of international trade most closely connected?a. People face tradeoffs.b. Trade can make every one better off.c. Gover nments can sometimes improve market outcomes.d. Prices rise whe n the gover nment pr ints too much mon ey.ANS: B PTS: 1 DIF: 1 REF: 9-0TOP: I nternatio nal trade MSC: I nterpretive3. A logical start ing point from which the study of intern ati onal trade beg ins isa. the recognition that not all markets are competitive.b. the recognition that government intervention in markets sometimes enhances the economic welfare of the society.c. the prin ciple of absolute adva ntage.d. the principle of comparative advantage.ANS: D PTS: 1 DIF: 1 REF: 9-0TOP: Intern ati onal trade | Comparative adva ntage 4. A tax on an imported good is called aa. quota.b. tariff.c. supply tax.d. trade tax.ANS: B PTS: 1 DIF: 1REF: 9-1 TOP: Tariffs MSC: Defi nitio nal 5. The price of a good that prevails in a world market is called the a. absolute price.b. relative price.c. comparative price.d. world price.ANS: D PTS: 1DIF: 1 REF: 9-1 TOP: Price | World trade MSC: Defi nitio nal6. The price of cott on that prevails in intern ati onal markets is called thea. export price of cotton.b. import price of cott on.c. comparative-adva ntage price of cott on.d. world price of cotton.7. If a country allows trade and, for a certain good, the domestic price without trade is higher than the world price,MSC: I nterpretive346 Chapter 9/Applicati on: In ter nati onal Trade ANS: A PTS: 1 DIF: 2REF: 9-1 TOP: Comparative adva ntage | Prices MSC: Applicativea. the country will be an exporter of the good.b. the country will be an importer of the good.c. the cou ntry will be n either an exporter nor an importer of the good.d. Additi onal in formati on is n eeded about dema nd to determ ine whether the cou ntry will be an exporter of the good, an importerof the good, or neither.ANS: B PTS: 1 DIF: 2 REF: 9-1TOP: Prices | Imports MSC: I nterpretive8. If a country allows trade and, for a certain good, the domestic price without trade is lower than the world price,a. the country will be an exporter of the good.b. the country will be an importer of the good.c. the cou ntry will be n either an exporter nor an importer of the good.d. Additi onal in formati on is n eeded about dema nd to determ ine whether the cou ntry will be an exporter of the good, an importerof the good, or neither.ANS: A PTS: 1 DIF: 2 REF: 9-1TOP: Prices | Exports MSC: I nterpretive9. For any country, if the world price of computers is higher than the domestic price of computers without trade, thatcou ntry shoulda. export computers, since that country has a comparative advantage in computers.b. import computers, since that country has a comparative advantage in computers.c. n either export nor import computers, since that cou ntry cannot gain from trade.d. neither export nor import computers, since that country already produces computers at a low cost compared to other cou ntries. ANS: A PTS: 1 DIF: 2 REF: 9-1TOP: Exports | Comparative adva ntage MSC: Applicative10. If the world price of textiles is higher than Vietnam ' s domestic price of textiles without trade, then Vietnama. should import textiles.b. has a comparative advantage in textiles.c. should produce just en ough textiles to meet its domestic dema nd.d. should refrain altogether from producing textiles.ANS: B PTS: 1 DIF: 2 REF: 9-1TOP: Price | Comparative adva ntage MSC: I nterpretive11. Assume, for Canada, that the domestic price of steel without international trade is higher than the world price of steel.This suggests that, i n the producti on of steel,a. Canada has a comparative advantage over other countries and Canada will import steel.b. Canada has a comparative advantage over other countries and Canada will export steel.c. other cou ntries have a comparative adva ntage over Can ada and Can ada will import steel.d. other countries have a comparative advantage over Canada and Canada will export steel.ANS: C PTS: 1 DIF: 2 REF: 9-1TOP: Comparative adva ntage | Prices MSC: Applicative12. Assume, for the U.S., that the domestic price of beef without in ter nati onal trade is lower tha n the world price of beef.This suggests that, i n the producti on of beef,a. the U.S. has a comparative advantage over other countries and the U.S. will export beef.b. the U.S. has a comparative advantage over other countries and the U.S. will import beef.c. other countries have a comparative advantage over the U.S. and the U.S. will export beef.d. other countries have a comparative advantage over the U.S. and the U.S. will import beef.Chapter 9/Applicati on: Intern ati onal Trade 34713. Suppose the United States exports cars to France and imports cheese from Switzerland. This situation suggests thata. the United States has a comparative advantage relative to Switzerland in producing cheese, and France has a comparative advantage relative to the Un ited States in produc ing cars.b. the Un ited States has a comparative adva ntage relative to Fra nee in produc ing cars, and Switzerla nd has a comparative advantage relative to the Un ited States in produc ing cheese.c. the United States has an absolute advantage relative to Switzerland in producing cheese, and France has an absolute advantage relative to the Un ited States in produc ing cars.d. the United States has an absolute advantage relative to France in producing cars, and Switzerland has an absolute adva ntagerelative to the Un ited States in produc ing cheese.ANS: B PTS: 1 DIF: 2 REF: 9-1TOP: Comparative adva ntage MSC: I nterpretive14. Trade among nations is ultimately based ona. absolute advantage.b. strategic advantage.c. comparative adva ntage.d. technical advantage.ANS: C PTS: 1 DIF: 1 REF: 9-1TOP: Trade | Comparative adva ntage MSC: I nterpretive15. A country has a comparative advantage in a product if the world price isa. lower than that country ' s domestic price without trade.b. higher than that country ' s domestic price without trade.c. equal to that country ' tic doimsswithout trade.d. not subject to man ipulati on by orga ni zati ons that gover n in ter nati onal trade.ANS: B PTS: 1 DIF: 2 REF: 9-1TOP: Price | Comparative adva ntage MSC: I nterpretive16. Suppose Haiti has a comparative advantage over other countries in producing sugar, but other countries have an absolute advantage over Haiti in produc ing sugar. If trade in sugar is allowed, Haitia. will import sugar.b. will export sugar.c. will either export sugar or export sugar, but it is not clear from the given information.d. would have nothing to gain either from exporting or importing sugar.ANS: B PTS: 1 DIF: 2 REF: 9-1TOP: Comparative adva ntage | Absolute adva ntage MSC: I nterpretive17. When, in our analysis of the gains and losses of international trade, we assume that a country is small, we are in effect assum ing thatthe cou ntrya. cannot experience significant gains or losses by trading with other countries.b. cannot have a significant comparative advantage over other countries.c. cannot affect world prices by trad ing with other cou ntries.d. All of the above are correct.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Prices | In ter natio nal trade MSC: I nterpretive18. When, in our analysis of the gains and losses from international trade, we assume that a particular country is small,we area. assuming the domestic price before trade will continue to prevail once that country is opened up to trade with other cou ntries.b. assum ing there is no dema nd for that cou ntry ' -prddiu^siitgallyds by other cou ntries.c. assum ing in ter nati onal trade can ben efit producers, but not con sumers, in that cou ntry.d. making an assumpti on that is not n ecessary to an alyze the gains and losses from in ter nati onal trade.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Assumpti ons | In ter nati onal trade MSC: I nterpretive348 Chapter 9/Applicati on: In ter nati onal Trade19. In analyzing the gains and losses from international trade, to say that Moldova is a small country is to say thata. Moldova can only import goods; it cannot export goods.b. Moldova ' s choice of which goods to export ard which goods to import is not based on the principle of comparative adva ntage.c. only the domestic price of a good is releva nt for Moldova; the world price of a good is irreleva nt.d. Moldova is a price taker.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Prices | In ter natio nal trade MSC: I nterpretive20. When a country allows trade and becomes an exporter of a good,a. domestic producers gain and domestic consumers lose.b. domestic producers lose and domestic consumers gain.c. domestic producers and domestic con sumers both gain.d. domestic producers and domestic consumers both lose.ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Gai ns from trade MSC: I nterpretive21. When a country allows trade and becomes an importer of a good,a. both domestic producers and domestic consumers become better off.b. domestic producers become better off, and domestic consumers become worse off.c. domestic producers become worse off, and domestic con sumers become better off.d. both domestic producers and domestic consumers become worse off.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Imports | Gai ns from trade MSC: I nterpretive22. When a country allows trade and becomes an importer of a good,a. every one in the cou ntry ben efits.b. the gains of the winners exceed the losses of the losers.c. the losses of the losers exceed the gains of the winn ers.d. every one in the cou ntry loses.ANS: B PTS: 1 DIF: 2 REF: 9-2TOP: Imports | Gai ns from trade MSC: I nterpretive23. When the nation of Econoland allows trade and becomes an exporter of televisions,a. residents of Econoland who produce televisions become worse off; residents of Econoland who buy televisions become better off;and the econo mic well-be ing of Econoland rises.b. residents of Econoland who produce televisions become worse off; residents of Econoland who buy televisions become better off;and the econo mic well-be ing of Econoland falls.c. reside nts of Econoland who produce televisi ons become better off; reside nts of Econoland who buy televisi ons become worseoff; and the econo mic well-be ing of Econoland rises.d. residents of Econoland who produce televisions become better off; residents of Econoland who buy televisions become worse off;and the econo mic well-bei ng of Econoland falls.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Eco no mic welfare MSC: Applicative24. When the nation of Duxembourg allows trade and becomes an importer of software,a. reside nts of Duxembourg who produce software become worse off; reside nts of Duxembourg who buy software become betteroff; and the econo mic well-be ing of Duxembourg rises.b. reside nts of Duxembourg who produce software become worse off; reside nts of Duxembourg who buy software become betteroff; and the econo mic well-be ing of Duxembourg falls.c. reside nts of Duxembourg who produce software become better off; reside nts of Duxembourg who buy software become worseoff; and the econo mic well-be ing of Duxembourg rises.d. reside nts of Duxembourg who produce software become better off; reside nts of Duxembourg who buy software become worseoff; and the econo mic well-bei ng of Duxembourg falls.ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: Imports | Ec on omic welfare MSC: ApplicativeChapter 9/Applicati on: Intern ati onal Trade 34925. When a n ati on first beg ins to trade with other cou ntries and the n ati on becomes an exporter of cor n,a. this is an indication that the world price of corn exceeds the nation ' s domestic price of corn in the absenee ctrade.b. this is an indication that the nation has a comparative advantage in producing corn.c. the nation ' s consumers of corn become worse off and the nation roducers of corn '雀啊6 better off.d. All of the above are correct.ANS: D PTS: 1 DIF: 3 REF: 9-2TOP: Exports | Comparative adva ntage | Econo mic welfare MSC: Applicative26. When a n ati on first beg ins to trade with other cou ntries and the n ati on becomes an importer of soybea ns,a. this is an indication that the world price of soybeans exceeds the nation ' s domestic price of soybe，abse nee of trade.b. this is an indication that the nation has a comparative advantage in producing soybeans.c. the nation ' s producers of soybeans become worse off and the nation ' s consumers of soybeans become bd. All of the above are correct.ANS: C PTS: 1 DIF: 3 REF: 9-2TOP: Imports | Comparative adva ntage | Econo mic welfare MSC: Applicative27. Trade raises the economic well-being of a nation in the sense thata. the gains of the winners exceed the losses of the losers.b. every one in an economy gains from trade.c. since cou ntries can choose what products to trade, they will pick those products that are most ben eficial to society.d. the n ati on joins the in ter nati onal commu nity whe n it begi ns to en gage in trade.ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: Trade | Eco nomic welfare MSC: I nterpretive28. When a country allows trade and becomes an exporter of a good,a. the gains of the domestic producers of the good exceed the losses of the domestic consumers of the good.b. the gains of the domestic consumers of the good exceed the losses of the domestic producers of the good.c. the losses of the domestic producers of the good exceed the gains of the domestic con sumers of the good.d. the losses of the domestic consumers of the good exceed the gains of the domestic producers of the good.ANS: A PTS: 1 DIF: 3 REF: 9-2TOP: Exports | Eco no mic welfare MSC: Applicative29. When a country allows trade and becomes an importer of steel,a. the losses of the domestic producers of steel exceed the gains of the domestic consumers of steel.b. the losses of the domestic consumers of steel exceed the gains of the domestic producers of steel.c. the gains of the domestic producers of steel exceed the losses of the domestic con sumers of steel.d. the gains of the domestic consumers of steel exceed the losses of the domestic producers of steel.ANS: D PTS: 1 DIF: 3 REF: 9-2TOP: Imports | Ec on omic welfare MSC: Applicative30. When a country allows trade and becomes an exporter of a good, which of the following is not a consequenee?a. The price paid by domestic con sumers of the good in creases.b. The price received by domestic producers of the good in creases.c. The losses of domestic con sumers of the good exceed the gains of domestic producers of the good.d. The gains of domestic producers of the good exceed the losses of domestic consumers of the good.ANS: C PTS: 1 DIF: 3 REF: 9-2TOP: Exports | Eco no mic welfare MSC: Applicative31. When a country allows trade and becomes an importer of bottled water, which of the following is not a consequenee?a. The gains of domestic consumers of bottled water exceed the losses of domestic producers of bottled water.b. The losses of domestic producers of bottled water exceed the gains of domestic consumers of bottled water.c. The price paid by domestic con sumers of bottled water decreases.d. The price received by domestic producers of bottled water decreases.ANS: B PTS: 1 DIF: 3 REF: 9-2TOP: Imports | Ec on omic welfare MSC: Applicative350 Chapter 9/Applicati on: In ter nati onal Trade32. When a country allows trade and becomes an exporter of a good,a. con sumer surplus and producer surplus both in crease.b. consumer surplus and producer surplus both decrease.c. con sumer surplus in creases and producer surplus decreases.d. con sumer surplus decreases and producer surplus in creases.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Con sumer surplus | Producer surplus MSC: In terpretive33. When a country allows trade and becomes an importer of a good,a. con sumer surplus and producer surplus both in crease.b. consumer surplus and producer surplus both decrease.c. con sumer surplus in creases and producer surplus decreases.d. con sumer surplus decreases and producer surplus in creases.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Imports | Con sumer surplus | Producer surplus MSC: In terpretive34. Which of the following statements is true?a. Free trade ben efits a cou ntry whe n it exports but harms it whe n it imports.b. "Voluntary" limits on Canadian exports of hogs are better for the United States than U.S. tariffs placed on Can adia n hog exports.c. Tariffs and quotas differ in that tariffs work like a tax and therefore impose deadweight losses, whereas quotas do not imposedeadweight losses.d. Free trade ben efits a cou ntry both whe n it exports and whe n it imports.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Trade policy MSC: Applicative35. When a cou ntry allows in ter nati onal trade and becomes an exporter of a good,a. domestic producers of the good become better off.b. domestic consumers of the good become worse off.c. the gains of the winners exceed the losses of the losers.d. All of the above are correct.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Ec on omic Welfare MSC: Applicative36. Suppose Scotland goes from being an isolated country to being an exporter of wool. As a result,a. con sumer surplus of Scottish con sumers of wool in creases.b. producer surplus of Scottish producers of wool in creases.c. total surplus of Scottish wool con sumers and producers rema ins con sta nt.d. it is reas on able to infer that other cou ntries have a comparative adva ntage over Scotla nd in wool producti on.ANS: B PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Ec on omic Welfare MSC: Applicative37. When a cou ntry allows in ter nati onal trade and becomes an importer of a good,a. domestic producers of the good become better off.b. domestic consumers of the good become worse off.c. the gains of the winners exceed the losses of the losers.d. All of the above are correct.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Imports | Ec on omic Welfare MSC: Applicative38. Assume, for Fra nee, that the domestic price of tea without intern ati onal trade is higher tha n the world price of tea. This suggeststhata. other countries have a comparative advantage over France in producing tea.b. France has an absolute adva ntage over other cou ntries in produc ing tea.c. France will export tea if international trade is allowed.d. French tea buyers will become worse off if i nternatio nal trade is allowed.ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: Comparative adva ntage | Prices MSC: ApplicativeChapter 9/Applicati on: Intern ati onal Trade 35139. Suppose a cou ntry beg ins to allow intern ati onal trade in steel. Which of the followi ng outcomes will be observed regardless ofwhether the country finds itself importing steel or exporting steel?a. The sum of con sumer surplus and producer surplus for domestic traders of steel in creases.b. The qua ntity of steel dema nded by domestic con sumers in creases.c. Domestic producers of steel receive a higher price for steel.d. The losses of the losers exceed the gains of the winners.ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: Trade | Eco nomic Welfare MSC: Applicative40. After a country goes from disallowing trade in sugar with other countries to allowing trade in sugar with other cou ntries,a. the domestic price of sugar will be greater than the world price of sugar.b. the domestic price of sugar will be lower than the world price of sugar.c. the domestic price of sugar will equal the world price of sugar.d. The world price of sugar does not matter; the domestic price of sugar prevails.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Trade | Prices MSC: I nterpretive41. Within a country, the domestic price of a product will equal the world price ifa. trade restrictions are imposed on the product.b. the country allows free trade.c. the cou ntry chooses to import, but not export, the product.d. the country chooses to export, but not import, the product.ANS: B PTS: 1 DIF: 2 REF: 9-2TOP: I nternatio nal trade | Prices MSC: I nterpretive42. For any country that allows free trade,a. domestic quantity demanded is equal to domestic quantity supplied at the world price.b. domestic quantity demanded is greater than domestic quantity supplied at the world price.c. both producers and con sumers in that cou ntry gain whe n domestic products are exported, but both groups lose whe n foreig nproducts are imported.d. the domestic price is equal to the world price.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: I nternatio nal trade | Prices MSC: I nterpretive43. The world price of a simple electronic calculator is $5.00. Before Singapore allowed trade in calculators, the price of a calculator therewas $4.00. Once Singapore began allowing trade in calculators with other countries,Singapore bega na. import ing calculators and the price of a calculator in Sin gapore in creased to $5.00.b. importing calculators and the price of a calculator in Singapore remained at $4.00.c. export ing calculators and the price of a calculator in Sin gapore in creased to $5.00.d. exporting calculators and the price of a calculator in Singapore remained at $4.00.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Prices MSC: Applicative44. The world price of a pound of T-bone steak is $9.00. Before Guatemala allowed trade in beef, the price of a pound of T-bone steakthere was $12.00. Once Guatemala began allowing trade in beef with other countries, Guatemala begana. exporting T-bone steak and the price per pound in Guatemala remained at $12.00.b. exporting T-bone steak and the price per pound in Guatemala decreased to $9.00.c. importing T-bone steak and the price per pound in Guatemala remained at $12.00.d. importing T-bone steak and the price per pound in Guatemala decreased to $9.00.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Imports | Prices MSC: Applicative352 Chapter 9/Applicati on: In ter nati onal Trade45. Suppose a country abandons a no-trade policy in favor of a free-trade policy. If, as a result, the domestic price of bea ns in creases toequal the world price of bea ns, the na. that country becomes an exporter of beans.b. that country has a comparative advantage in producing beans.c. at the world price, the quantity of beans supplied in that country exceeds the quantity of beans demanded in that cou ntry.d. All of the above are correct.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Comparative adva ntage MSC: Applicative46. Suppose a country abandons a no-trade policy in favor of a free-trade policy. If, as a result, the domestic price of pistachiosdecreases to equal the world price of pistachios, the na. that country becomes an importer of pistachios.b. that country has a comparative advantage in producing pistachios.c. at the world price, the quantity of pistachios supplied in that country exceeds the quantity of pistachios demanded in that cou ntry.d. All of the above are correct.ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: Imports | Comparative adva ntage MSC: ApplicativeChapter 9/Applicati on: Intern ati onal Trade 353a. $210.b. $245.c. $455.d. $490.B PTS: 1DIF: 2 REF: 9-2 Con sumer surplus MSC: ApplicativeRefer to Figure 9-1 .Without trade, producer surplus isa. $210.b. $245.c. $455.d. $490.A PTS: 1DIF: 2 REF: 9-2 ANS: TOP: 48. ANS: TOP: Producer surplusMSC: Applicative354 Chapter 9/Applicati on: In ter nati onal Trade49. Refer to Figure 9-1 . With free trade, this country willa. import 40 baskets.b. import 70 baskets.c. export 35 baskets.d. export 65 baskets.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Exports MSC: Applicative50. Refer to Figure 9-1 . If this country chooses to trade, the price of baskets in this country will bea. $10 and 40 baskets will be sold domestically.b. $10 and 105 baskets will be domestically.c. $7 and 70 baskets will be sold domestically.d. $7 and 40 baskets will be sold domestically.ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: Price | Qua ntity dema nded MSC: Applicative51. Refer to Figure 9-1 . With free trade, consumer surplus isa. $45.b. $80.c. $210.d. $245.B PTS:1 DIF:2 REF: 9-2TOP: Trade | Co nsumer surplus MSC: Applicative52. Refer to Figure 9-1 . With free trade, producer surplus isa. $80.00.b. $210.00.c. $245.50.d. $472.50.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Trade | Producer surplus MSC: Applicativea. $80.b. $97.50.c. $162.50.d. $495.50.ANS: B PTS: 1 DIF: 3 REF: 9-2TOP: Trade | Total surplus MSC: Applicative53. Refer to Figure 9-1 . As a result of trade, total surplus in creases bya. has a comparative adva ntage in baskets.b. s hould export baskets.c. is a price taker in the world economy.d. A ll of the above are correct.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Exports | Comparative adva ntage MSC: Applicative54. Refer to Figure 9-1 . This country55. Refer to Figure 9-1 . The world price for baskets representsa. the dema nd for baskets from the rest of the world.b. the supply of baskets from the rest of the world.c. the level of i nefficie ncy in the domestic market caused by trade.d. the gap between domestic quantity demanded and domestic quantity supplied and the resulting shortage. ANS: A PTS: 1 DIF: 2 REF: 9-2TOP: I nternatio nal trade | Price MSC: I nterpretiveChapter 9/Applicati on: Intern ati onal Trade 35556. Refer to Figure 9-1 . At the world price and with free trade,a. the domestic quantity of baskets demanded is greater than the domestic quantity of baskets supplied.b. the basket market is in equilibrium.c. the domestic dema nd for baskets is perfectly in elastic.d. both domestic producers of baskets and domestic consumers of baskets are better off than they were without free trade. ANS: B PTS: 1 DIF: 2 REF: 9-2TOP: Trade | Equilibrium MSC: I nterpretiveFigure 9-2. The domestic country is China.57. Refer to Figure 9-2 . With no international trade,a. the equilibrium price is $12 and the equilibrium quantityis 300.b. the equilibrium price is $16 and the equilibrium quantityis 200.c. the equilibrium price is $16 and the equilibrium quantityis 300.d. the equilibrium price is $16 and the equilibrium quantityis 450.ANS: A PTS: 1 DIF: 1 REF: 9-2TOP: Equilibrium price | Equilibrium qua ntity MSC: In terpretive58. Refer to Figure 9-2 . If China were to abandon a no-trade policy in favor of a free-trade policy,a. Chinese producers of pencil sharpeners would become worse off.b. Chinese consumers of pencil sharpeners would become better off.c. total surplus in the Chin ese economy would in crease.d. All of the above are correct.ANS: C PTS: 1 DIF: 2 REF: 9-2TOP: Total surplus MSC: I nterpretive59. Refer to Figure 9-2 . With trade, China willa. import 100 pencil sharpeners.b. import 250 pen cil sharpe ners.c. export 150 pen cil sharpe ners.d. export 250 pencil sharpeners.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Exports MSC: Applicative60. Refer to Figure 9-2 . With trade, producer surplus in China isa. $800.b. $1,200.c. $1,800.d. $2,700.ANS: D PTS: 1 DIF: 2 REF: 9-2TOP: Trade | Producer surplus MSC: Applicative61. Refer to Figure 9-2 . Relative to a no-trade situation, which of the following comes with trade?。