The demand and the supply for broccoli1 in Veganstan's closed economy are given by QD = 60 - 2P, and QS = 38P.

For the following questions, we assume that Veganstan's policy makers open up the country's economy for trade. Veganstan's neighbouring country, Beefland, can produce and sell unlimited quantities of broccoli at 0.5$ per kilogram - which happens to be also the world price PW for broccoli. 4: Assume that there is free trade between Veganstan and Beefland. For Veganstan: a) graphically show the free trade equilibrium price PFT and quantity QFT; 2 b) briefly discuss how PFT and QFT compare to PCE and QCE; c) discuss the welfare implications3 of free trade relative to the closed economy.