2. Winners and losers from free trade Consider the imaginary economy of Meekerton and the market for meekies, a hypothetical good. Without international trade the domestic price of meekies is $25. Suppose that the world price of meekies is $30. Assume that if it were to enter the international market for meekies, Meekerton is too small to influence the world price. If Meekerton decides to participate in free trade, then it will V meekies. Given current economic conditions in Meekerton, complete the following table by indicating whether each of the statements is true or false. Statement True False Meekertonian producers are worse off under free trade than they were before. O O Meekertonian consumers are better off under free trade than they were before. O O True or False: When a nation is too small to affect world prices, allowing free trade will never increase total surplus in that country, regardless of whether it imports or exports as a result of international trade. O True O False2. Winners and losers from free trade Consider the imaginary economy of Meekerton and the market for meekies, a hypothetical good. Without international trade the domestic price of meekies is $25. Suppose that the world price of meekies is $30. Assume that if it were to enter the international market for meekjes, Meekerton is too small to inuence the world price. If Meekerton decides to participate in free trade, then it will V meekies. export Given current economic conditions in Meekerton, complete - g tabie by indicating whether each of the statements is true or faise. import Statement True False Meekertonian producers are worse off under free trade than they were before. 0 O Meekenonian consumers are better off under free trade than they were before. O O True or False: When a nation is too small to affect world prices, allowing free trade will never increase total surplus in that country, regardless of whether it imports or exports as a result of international trade. 0 Tme O False