Consider a world with two countries-USA and Foreign and a competitive market of sugar in both counties.

1.      Consider a world with two countries-USA and Foreign and a competitive market of sugar in both counties. Foreign is more efficient in the production of sugar and the autarky price of the sugar is lower in Foreign. Describe graphically the equilibrium of sugar when USA and Foreign begin trading. What would be the effect on the sugar price in USA and on the welfare of US if US imposes a (per unit) tariff on sugar import? Argue using a graph taking into consideration that US is a large sugar importing country.

2.      Explain the cost of “rent seeking” associated with import quota and give an example.

3.      Explain two main consequence on Japanese export of cars to USA of the Voluntary Export Restraint of Japanese export of cars to USA in 1980s. Who (among Japan, US consumers, US auto industry) was the main loser from the Voluntary Export Restraint?

4.      Consider a monopolistic competition model of differential good but with symmetric firms and(internal) economics of scale.

a.      When a market expands (consider a case of Canada integrating with USA), what would be its impact on prices and number of firms in each country, number of firms in both countries together?

b.      What would be the impact of the integration on the welfare of a typical resident of Canada? Detail the two main sources of the welfare changes.

c.       Now, consider the case of asymmetric firms. What additional effect of integration can you expect? Explain their possible welfare impact.

Show more







Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more

Order your essay today and save 10% with the coupon code: best10