Import car market in equilibrium before restricts it

While the import car market is in equilibrium before the government restricts car imports to Q₁, the price which buyers will pay for an import as: (1) falls from P₀ to P₁. (2) is stable, although dealer profits fall by Q₀ to Q₁. (3) rises from P₀ to P₂. (4) shows a subsidy wedge of P₂ to P₁.

1750_Trade Barriers.png

Hello guys I want your advice. Please recommend some views for above economics problems.

View Complete Question

Related Questions in Microeconomics

Q : Reasonable analytic objection to land

A reasonable analytic objection to the argument which full taxation of economic rents would not hinder allocative efficiency is about: (w) reducing income streams by rents does reduce the incentive of the resource owner to acquire the transaction cost

Q : Tariffs and Tax Revenues An import

An import tariff on Japanese cars of ac generates government revenue equivalent to: (w) trapezoid bcde. (x) rectangle P1to P2ca. (y) distance Q0 to Q1. (z) rectangle 0P2dQ2.

Q : Diminishing marginal utility and

The three reasons for downward slope of a demand curve are: (1) Diminishing marginal utility, income effect and the substitution effect. (2) Scarcity, tastes & preferences, and purchasing power. (3) Opportunity costs, rational decision making and

Q : Functions of Profits and Losses The

The functions of profits into a market economy do NOT comprise: (1) stimulation for firms to be innovative and efficient. (2) compensating savers for delays of consumption. (3) signaling changing business conditions. (4) inducing mimi

Q : Effected income of a small changes The

The income effect of a small change in wage rate in demonstrated figure of Glynn dominates the substitution effect at: (1) point a. (2) point b. (3) point c. (4) point d. (5) every point specified in the figure.

Q : Coefficient of cross-elasticity of

When a price hike from $15 to $20 for DVD disks causes sales of DVD players to reduce from 100 to 50 units, in that case the coefficient of cross-elasticity of demand among these goods is approximately: (w) 1/10. (x) 10. (y) 7/3. (z)

Q : Define Direct taxes Direct taxes :

Direct taxes: Whenever the liability to pay tax and the burden of that tax fall on similar person, it is termed as direct tax. Illustrations are: wealth tax, income tax, corporation tax, gift tax and so on.

Q : Determine present value of future income

The present value of future income is: (1) calculated by multiplying future income by the percentage interest rate. (2) higher, the higher the interest rate. (3) lower, the higher the interest rate. (4) unaffected by the interest rate. (5) purely obje

Q : Define utility Utility : The wants

Utility: The wants satisfying power of a commodity is termed as utility.

Q : Production possibilities analysis Refer

Refer to the given diagram. As it associate to production possibilities analysis, the law of increasing opportunity cost is reflected in curve:1) A 2) B 3) C 4) D

Discover Q & A

Leading Solution Library

Avail More Than 1450409 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1942464
Asked

3,689

Active Tutors

1450409

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment