Transcript No Slide Title

price
demand
pmon
B
c
A
MC
MR
qmon
Figure 9.2
quantity
Umon
Uopt
Food
Mon
Opt
-slope = MRT
-slope = pm/pf = MRS
ppf
Manufactures
Figure 9.3
Umon
Food
Ucou
Mon
Cou
MRTmon
MRTcou
MRSmon
MRScou
ppf
Manufactures
Figure 9.6
price
demand
MRrec MRmon
monopoly
pmon
prec
reciprocal dumping
B
qAA
Tc
c
A
qmon
qrec
imports = qBA
profits in autarky
increase consumer surplus with trade
domestic profits with trade
foreign profits with trade
-/-
Figure 9.7
net welfare effect
quantity
a. Autarky
Belgium
5 million laborers
10,000 varieties
produced, 10,000
consumed
The Netherlands
7 million laborers
14,000 varieties
produced, 14,000
consumed
b. International trade
10,000 varieties; 7/12 th of production
Belgium
5 million laborers
10,000 varieties
produced, 24,000
consumed
Figure 10.6
The Netherlands
7 million laborers
14,000 varieties
produced, 24,000
consumed
th
14,000 varieties; 5/12 of production
Variety 1A
Variety 1B
Variety 2A
Variety 2B
.
.
.
.
.
.
Variety NA
Exports from B to A
Variety NB
Exports from A to B
Consumer country A
Figure 10.7
Consumer country B
Intermediate 1A
Intermediate 1B
Intermediate 2A
Intermediate 2B
.
.
.
Intermediate NA
.
.
.
Exports from B to A
Intermediate NB
Exports from A to B
Producers country A
Producers country B
Consumers country A
Consumers country B
Figure 10.8
price
demand
A
pmon
MC
F
pworld+t1
B
pcomp
D’
pworld+t0
pworld
C
E’
D
E
MR
quantity
Figure 11.2
price
demand
demand’
MC
D
pquota
A
B
pworld+t
C
pworld
imports
MR
quantity
Figure 11.3
Food
U0
ppf
U1
Manufactures
Figure 12.5
Increasing degree of private control
market
socialism
capitalism
A
socialism /
communism
Increasing degree of private property
Figure 12.7
welfare
state
Food
ppf
B
C
A
Manufactures
O
E
Figure 12.8
D
price
demand
supply
pC+t
pB+t
tariff
tariff
pC
pB
imports before customs union
imports after customs union
q0
q1
q3
decrease producer surplus
net gain
increase consumer surplus
decrease government revenue
Figure 13.2
q4
quantity
price
demand
supply
pB+t
pC+t
tariff
tariff
pB
pC
imports before customs union
imports after customs union
q0
q1
q3
decrease producer surplus
-/-
net gain; possible loss
increase consumer surplus
decrease government revenue
Figure 13.3
q4
quantity