Question

Assume that the world price for widgets is $9.
1. If the government places a $3 tariff on all foreign produced widgets, the total domestic production will be       .
2. The total number of imported widgets with a $3 tariff will be       .
3. How much revenue will a foreign producer make if there is no tariff or quota?       .
4. The value of consumer surplus with free world trade would be       and the value of consumer surplus in a closed economy would be       .
5. The value of producer surplus with free world trade