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Homework answers / question archive /  Domestic supply 5 4 3 2 N Domestic demand 1 10 20 30 40 50 60 Suppose that a government that knows absolutely nothing welcomes free trade into the economy

 Domestic supply 5 4 3 2 N Domestic demand 1 10 20 30 40 50 60 Suppose that a government that knows absolutely nothing welcomes free trade into the economy

Economics

 Domestic supply 5 4 3 2 N Domestic demand 1 10 20 30 40 50 60 Suppose that a government that knows absolutely nothing welcomes free trade into the economy. Suddenly prices shoot up to $5. They want to know the answers to the following questions, Are they importing or exporting goods and how much? How did you identify this so they know in the future. What are the gains from trade in the market? Who were the losers and the winners from letting free trade in? and what would be one way of mitigating some of the losers losses?

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