Consider the New Zealand market for lemons. The following graph shows the domestic demand and domestic supply curves for lemons in New Zealand. Suppose New Zealand's government currently does not allow international trade in lemons. Use the black point (plus symbol) to indicate the equilibrium price of a ton of lemons and the equilibrium quantity of lemons in New Zealand in the absence of international trade. Then, use the green triangle (triangle symbol) to shade the area representing consumer surplus in equilibrium. Finally, use the purple triangle (diamond symbol) to shade the area representing producer surplus in equilibrium. 900 Domestic Demand Domestic Supply 850 Equilibrium without Trade 800 750 700 Consumer Surplus 650 PRICE (Dollars per ton) 600 Producer Surplus 550 500 450 400 20 40 60 80 100 120 0 160 180 200 QUANTITY (Tons of lemons) Based on the previous graph, total surplus in the absence of international trade is $ The following graph shows the same domestic demand and supply curves for lemons in New Zealand. Suppose that the New Zealand government changes its international trade policy to allow free trade in lemons. The horizontal black line (Pw ) represents the world price of lemons at $800 per ton. Assume that New Zealand's entry into the world market for lemons has no effect on the world price and there are no transportation or transaction costs associated with international trade in lemons. Also assume that domestic suppliers will satisfy domestic demand as much as possible before any exporting or importing takes place.Use the green triangle (triangle symbol) to shade consumer surplus, and then use the purple triangle (diamond symbol) to shade producer surplus. _'\\ CL 900 - Domestic Demand Domestic Supply 850 - 800 Consumer Surplus Pw A 750 - C 2 5 700 - Producer Surplus Q. 2 '__V 650 - O 9 Lu 600 - 9 n: 0- 550 500 - 450 - 400 1 . . I . . . . I . . o 20 40 60 so 100 120 140 160 180 200 QUANTITY (Tons of lemons) When New Zealand allows free trade of lemons, the price of a ton of lemons in New Zealand will be $800. At this price, tons of lemons will be demanded in New Zealand, and tons will be supplied by domestic suppliers. Therefore, New Zealand will export tons of lemons. Using the information from the previous tasks, complete the following table to analyze the welfare effect of allowing free trade. Without Free Trade With Free Trade (Dollars) (Dollars) Consumer Surplus Producer Surplus When New Zealand allows free trade, the country's consumer surplus V by , and producer surplus V by . So, the net effect of international trade on New Zealand's total surplus is a V of