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8. The financial account in Canadian balance of payments includes A) everything that is included in the current account. B) payments of pensions to Canadian citizens who now live in foreign countries. C) profits that Honda of Canada sends back to Japan. D) new Canadian investments in foreign countries.4. The figure below represents the U.S. market for steel imports from Korea. The Korean government provides an export subsidy of $25 per ton, and Korean firms use the subsidy to reduce their export price to the United States to $375 per ton. Price ($ per ton) $400 World price $375 U.S. demand for imported steel 150 180 Quantity (millions of tons) What is the cost of the export subsidy to the Korean government? A) $375 million B) $3.75 billion C) $4.5 billion D) $67.5 billion6. The figures below illustrate a situation of a trade embargo. In Figure (a) Dd and Sd are the domestic demand and supply curves of the embargoing countries. Prior to the embargo there was free trade at the world price of PO. (a) Embargoing country (b) Target country Price of the Sn (export supply Price of the from non-embargoing embargoed goods embargoed goods countries) Sa PI Se + Sa b C (World export supply) Po DM Da Quantity Quantity The embargoing country loses area while the target country loses area. A) (b + c); (a + c). B) (a + d); (b + c). C) a; b. D) a; (b + c)