China is a major producer of grains such as wheat, corn, and rice. Assume that it is also an exporting country in the market for grain.

Suppose the following graph depicts the market for grain in China.

On the graph below, show the impact opening up to international trade has on the domestic price for grain by shifting the price line up or down to reflect the world price of grain.

Demand supply PRICE of gRAIN ( dollars Per Bushel) 0 1 2 3 4 5 6 7 8 9 1 0 PunNity of GRAIN ( millions of Bushels )Demand supply PRICE of gRAIN ( Dollars per bushel) PRICE O 0 2 3 y 5 6 7 8 9 10