In mid-2015, the world price for raw sugar, 12 per pound, was about half of the...

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In mid-2015, the world price for raw sugar, 12 per pound, was about half of the U.S. price, 25 per pound, because of quotas and tariffs on sugar imports. As a consequence, American.-made corn sweeteners can be profitably sold domestically. Assume the figure to the right illustrates the market for raw sugar, where the world price is Pw and the domestic price with the quota is Pd. First, show the effect of the raw sugar quota on consumer surplus. 1.) Use the point drawing tool to indicate the price domestic consumers pay and the quantity they consume. Label this point 'ed'. 2.) Use the point drawing tool to indicate the price domestic producers receive and the quantity they sell. Label this point 'es'. 3.) Use the rectangle drawing tool and the triangle drawing tool each once to shade in the change in consumer surplus (CSP + ' CS Rectangle, or CS Triangle) as a result of the quota. Properly label the shaded CS Triangle' Rectangle areas, where "+" indicates a positive change and "-" indicates a negative change. p, $ per unit Pd Pw Q, Units of raw sugar S D In mid-2015, the world price for raw sugar, 12 per pound, was about half of the U.S. price, 25 per pound, because of quotas and tariffs on sugar imports. As a consequence, American.-made corn sweeteners can be profitably sold domestically. Assume the figure to the right illustrates the market for raw sugar, where the world price is Pw and the domestic price with the quota is Pd. First, show the effect of the raw sugar quota on consumer surplus. 1.) Use the point drawing tool to indicate the price domestic consumers pay and the quantity they consume. Label this point 'ed'. 2.) Use the point drawing tool to indicate the price domestic producers receive and the quantity they sell. Label this point 'es'. 3.) Use the rectangle drawing tool and the triangle drawing tool each once to shade in the change in consumer surplus (CSP + ' CS Rectangle, or CS Triangle) as a result of the quota. Properly label the shaded CS Triangle' Rectangle areas, where "+" indicates a positive change and "-" indicates a negative change. p, $ per unit Pd Pw Q, Units of raw sugar S D