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1. Suppose that the supply schedule of Brazilian coffee beans is as follows: Table 1 S Price of Brazilian coffee beans Quantity of Brazilian coffee

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1. Suppose that the supply schedule of Brazilian coffee beans is as follows: Table 1 S Price of Brazilian coffee beans Quantity of Brazilian coffee beans supplied (per pound) (pounds) $4.00 6,000 $3.50 5,000 $3.00 4,000 $2.50 3,000 $2.00 2,000 Suppose that Brazilian coffee beans can be sold only in Brazil. The domestic Brazilian demand schedule for Brazilian coffee beans is as follows Table 2 DB Price of Brazilian coffee Brazilian quantity of Brazilian coffee beans demanded beans (per pound) (pounds) $4.00 1,000 $3.50 2,500 $3.00 4,000 $2.50 5,000 $2.00 7,000

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