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4. Effects of a tariff on international trade The following graph shows the domestic supply of and demand for maize in Guatemala. The world price (PW) of maize is $265 per ton and is represented by the horizontal black line. Throughout the question, assume that the amount demanded by any one country does not affect the world price of maize and that there are no transportation or transaction costs associated with international trade in maize. Also, assume that domestic suppliers will satisfy domestic demand as much as possible before any exporting or importing takes place. 63 535 Domestic Demand Domestic Supply 505 475 445 415 385 355 PRICE (Dollars per ton) 325 295 P I\\ 235 | l | l | l | I 0 50 100 150 200 250 300 350 400 450 50 QUANTITY (Tons of maize) W 265 0 If Guatemala is open to international trade in maize without any restrictions, it will import [:1 tons of maize. Suppose the Guatemalan government wants to reduce imports to exactly 100 tons of maize to help domestic producers. A tariff of $ per ton will achieve this. A tariff set at this level would raise in revenue for the Guatemalan government