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In Figure 14.1, at $6: Figure 14.1 Graph - Upward sloping line S1 intersects downward sloping line D1; horizontal line at 5 on the vertical
In Figure 14.1, at $6: Figure 14.1 Graph - Upward sloping line S1 intersects downward sloping line D1; horizontal line at 5 on the vertical axis intersects D1 at point A and line S1 at point B; the horizontal line AB is marked Exports; horizontal line at 6 on the vertical axis intersects D1 at point M and line S1 at point N Graph - Upward sloping line S2 intersects downward sloping line D2; horizontal line at 5 on the vertical axis intersects D2 at point D and line S2 at point C; the horizontal line CD is marked Imports; horizontal line at 6 on the vertical axis intersects D2 at point Y and line S2 at point X In Figure 14.1, at $6: the free market equilibrium has been achieved. quantity demanded exceeds quantity supplied in the exporting country by a larger amount than quantity supplied exceeds quantity demanded in the importing country, which will put an upward pressure on the price. quantity supplied exceeds quantity demanded in the exporting country by a larger amount than quantity demanded exceeds quantity supplied in the importing country, which will put an upward pressure on the price. quantity supplied exceeds quantity demanded
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