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Explain how derive the free trade world price. explain how social surplus in each country changes as we move to free trade.Give the details and
- Explain how derive the free trade world price.
- explain howsocial surplusin each country changes as we move to free trade.Give the details and the intuition.
- What do we mean by theTerms of Trade(ToT)and why does an improvement (rise) in the ToT imply a rise in social surplus?
- Explain how Home's import tariff affects surpluses in HOME and in FOREIGN.Give the details
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