Suppose that the demand curve for vegetable fibre in Euroland is given by QD = 40 − 2P , and that the supply curve is given by QS = 2/3 (P) (i.e. two thirds of P). The world price of vegetable fibre is €9 per unit. If there no restrictions on trade the level of imports of fibre into Euroland would be A. 26 units B. 16 units C. 4 units D. 12 units

Micro Economics For Today
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ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter15: International Trade And Finance
Section: Chapter Questions
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Suppose that the demand curve for vegetable fibre in Euroland is given by QD = 40 − 2P , and that the supply curve is given by QS = 2/3 (P) (i.e. two thirds of P). The world price of vegetable fibre is €9 per unit.
If there no restrictions on trade the level of imports of fibre into Euroland would be
A.
26 units
B.
16 units
C.
4 units
D.
12 units

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