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D Question 1 0 pts Freedonia is a small country which is unable to affect world prices. Perfect competition prevails in the market for wine.
D Question 1 0 pts Freedonia is a small country which is unable to affect world prices. Perfect competition prevails in the market for wine. Freedonia's import demand for wine is given by P - 50 -0.5M where M is the quantity of wine import that Freedonia is willing to buy from the rest of the world. The world price of wine is P* = $10. If the government of Freedonia imposes a specific tarifft - $5, it will face a deadweight loss equal to O $350 O $25 O $50 O $75
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