Spring 2023 - 3 Someof hat Home Announcements D Question 2 4 pts Assignments Table: U.S. Demand for and Supply of Widgets Discussions Grades Price SI $10 Quantity 10 14 Syllabus Supplied Quizzes Quantity 20 17 14 10 Demanded Modules The United States can import widgets from China at 54 each and from Mexico at 53 each The United States imiposes a tariff of 52 on each of it's widget imports. Suppose that the United States and Mexico form a free- trade area. How nich trade in widgets is diverted in the U.S. Mexican free trade area? O 2 widgets O & widgets 6 widgets2033 - 3 Second Half . D Question 17 4 pts ouncements Table: U.S. Demand for and Supply of Widgets signments Price 51 510 scussions Quantity 7 H 12 ades Supplied Quantity 20 19 17 15 13 10 llabyus Demanded Lizzes Modules The United States can Import widgets from China at 54 each and from Mexico at 35 each. The United States imposes a tariff of $2 on each of its widget imports. In the United States better off or worse off in its trade in widgets following the free-trade agreement with Mexico? @ It is better off because trade creation gains exceed trade diversion losses. G Il is worse off because trade diversion losses exceed trade creation Fails. It b worse off because trade creation losses exceed trade diversion gains, O It is better off because trade diversion gains exceed trade creation loses. 4 pots