Numerical also graphical explanation of social welfare under tariff with the given demand supply equations.
D*= 100-40xP, S*= 40+40xP
D= 1000-400xP, S= 800+400xP
Illustrate what is autarky price also quantity equilibrium for both home also foreign? Illustrate what is the open trade price also volume under free trade? Illustrate what is Pt, Pt*, Trade Volume under tariff? Illustrate what is the change in consumer surplus, change in producer surplus also tariff revenue for the importing country? Please graph all the different scenarios.