ce the total doilar value of that share. a. Computers b. Mapie sysup nol c. Soybeans hsbun bne "tlqed Hவந் ar d. Cocoa beans iba at ole. Beer 12. Over the past five years the United States has become the world's largest producer of natural gas. But gas producers have struggled to find methods to liquefy natural gas so that it can be exported across the Atlantic. Enter Cheniere Energy, a Houston-based natural gas company that has developed a natural gas export terminal located on the Sabine Pass leading into the Gulf of Mexico. The terminal will give U.S. companies access to markets all over the world. a. Explain how the development of a natural gas export terminal will affect the market for natural gas in the United States. b. Assuming natural gas prices are $3.00 per BTU, illustrate the effect of an export terminal on the demand for natural gas in the United States. Explain your findings. sni rony 242 | PART 3 INDIVIDUALS AND MARKETS c. Assuming natural gas prices in Europe are $6.00 per BTU, draw a diagram to illustrate how the develop- ment of a natural gas terminal in the United States will affect supply and demand in the natural market for Europe. Explain your findings. gas d. How will the exporting of natural gas from the United States to Europe affect consumers and pro- ducers in both places? Note that most of the natural gas in Europe originates from Russia's state-owned natural gas company, Gazprom. For this Discovering Data exercise, use FRED (fred.stlouisfed.org) to create a graph compar- 3. ing exports from California, Florida, Michigan, Penn
ce the total doilar value of that share. a. Computers b. Mapie sysup nol c. Soybeans hsbun bne "tlqed Hவந் ar d. Cocoa beans iba at ole. Beer 12. Over the past five years the United States has become the world's largest producer of natural gas. But gas producers have struggled to find methods to liquefy natural gas so that it can be exported across the Atlantic. Enter Cheniere Energy, a Houston-based natural gas company that has developed a natural gas export terminal located on the Sabine Pass leading into the Gulf of Mexico. The terminal will give U.S. companies access to markets all over the world. a. Explain how the development of a natural gas export terminal will affect the market for natural gas in the United States. b. Assuming natural gas prices are $3.00 per BTU, illustrate the effect of an export terminal on the demand for natural gas in the United States. Explain your findings. sni rony 242 | PART 3 INDIVIDUALS AND MARKETS c. Assuming natural gas prices in Europe are $6.00 per BTU, draw a diagram to illustrate how the develop- ment of a natural gas terminal in the United States will affect supply and demand in the natural market for Europe. Explain your findings. gas d. How will the exporting of natural gas from the United States to Europe affect consumers and pro- ducers in both places? Note that most of the natural gas in Europe originates from Russia's state-owned natural gas company, Gazprom. For this Discovering Data exercise, use FRED (fred.stlouisfed.org) to create a graph compar- 3. ing exports from California, Florida, Michigan, Penn
Microeconomics: Principles & Policy
14th Edition
ISBN:9781337794992
Author:William J. Baumol, Alan S. Blinder, John L. Solow
Publisher:William J. Baumol, Alan S. Blinder, John L. Solow
Chapter21: International Trade And Comparative Advantage
Section: Chapter Questions
Problem 2TY
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Transcribed Image Text:ce
the total doilar value of that share.
a. Computers
b. Mapie sysup
nol
c. Soybeans
hsbun bne "tlqed
Hவந்
ar
d. Cocoa beans
iba
at
ole. Beer
12. Over the past five years the United States has become
the world's largest producer of natural gas. But gas
producers have struggled to find methods to liquefy
natural gas so that it can be exported across the
Atlantic. Enter Cheniere Energy, a Houston-based
natural gas company that has developed a natural gas
export terminal located on the Sabine Pass leading
into the Gulf of Mexico. The terminal will give U.S.
companies access to markets all over the world.
a. Explain how the development of a natural gas export
terminal will affect the market for natural gas in the
United States.
b. Assuming natural gas prices are $3.00 per BTU,
illustrate the effect of an export terminal on the
demand for natural gas in the United States. Explain
your findings.
sni
Transcribed Image Text:rony
242 | PART 3 INDIVIDUALS AND MARKETS
c. Assuming natural gas prices in Europe are $6.00 per
BTU, draw a diagram to illustrate how the develop-
ment of a natural gas terminal in the United States
will affect supply and demand in the natural
market for Europe. Explain your findings.
gas
d. How will the exporting of natural gas from the
United States to Europe affect consumers and
pro-
ducers in both places? Note that most of the natural
gas in Europe originates from Russia's state-owned
natural gas company, Gazprom.
For this Discovering Data exercise, use FRED
(fred.stlouisfed.org) to create a graph compar-
3.
ing exports from California, Florida, Michigan, Penn
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