1. The accompanying table indicates the US domestic demand and supply schedules for commercial jet airplanes. Suppose that the world price of a commercial jet airplane is $100 million. Price (millions) Quantity of Jets Demanded Quantity of Jets Supplied $120 100 1000 110 150 900 100 200 800 90 250 700 80 300 600 70 350 500 60 400 400 50 450 300 40 500 200 a. Without trade, how many commercial jet airplanes does the US produce, and at what price are they bought and sold? b. With trade, what will be the price for commercial jet airplanes? Will the US import or export airplanes? How many?2. The accompanying table shows the US domestic demand and supply schedules for oranges. Suppose the world price of oranges is $0.30 per orange. Quantities are in thousands. Price Quantity of oranges Quantity of oranges Supplied Demanded $1.00 2 11 0.90 4 10 0.80 6 9 0.70 8 0.60 10 7 0.50 12 6 0.40 14 5 0.30 16 4 0.20 18 3 a. Draw the US domestic supply and demand schedules b. With free trade, how will the US import or export? How many? c. Suppose the US government imposes a tariff on oranges of $0.20 per orange. How many oranges will the US import or export after the tariff? d. In your diagram, shade the gain or loss to the economy as a whole from the introduction of the tariff. e. If the US had wished to use a quota instead of the tariff, what quota would have the same impact in the market?3. Mitch and Angela are castaways on an island in the Pacific. Angela can gather 30 coconuts or catch 40 fish per day. Mitch can gather 20 coconuts or catch 10 fish per day. Assume that they can divide their days between the two activities and a linear relationship holds. a. Complete the following table on opportunity costs. Opportunity cost of Opportunity Cost 1 coconut of 1 fish Mitch Angelab. Who has the comparative advantage in coconuts? Briefly explain. C. Who has the comparative advantage in fish? Briefly explain. d. Propose a mutually beneficial trade. e. Using production possibilities curves, demonstrate that both Mitch and Angela will benefit from specialization and trade at the rate proposed in question d