3. With an import quota, the price of tomatoes in the United States would rise and the...
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3. With an import quota, the price of tomatoes in the United States would rise and the quantity bought would decrease. Consumer surplus would decrease. Growers would receive a higher price, produce a larger quantity, and producer surplus would increase. The U.S. total surplus in the tomato market would be redistributed from consumers to producers, but it would decrease.
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