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Draw a cheese market for the US showing world price as the price for this market. How much cheese does the US import at the world price? Assume that the cheese lobby promotes and successfully gains a tariff on cheese. What happens to the price paid by cheese lovers in the US? How does this change the value generated by the market? Why do you say this? Where does this appear on your graph

Microeconomics, Economics

  • Category:- Microeconomics
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