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The majority of fresh fruit consumed in Canada is imported, much of it coming from the United States, Mexico Chile, Guatemala. The proportion of fruit
The majority of fresh fruit consumed in Canada is imported, much of it coming from the United States, Mexico Chile, Guatemala. The proportion of fruit that is imported increased from 63% in 1970 to 88% in 2019. Much of this increase can be attributed to a reduction in transportation costs associated with improved roads and storage technology. Use a domestic supply and domestic demand graph to illustrate the impact of imports on the market for fruit in the United States. Be sure to properly label all relevant curves. Label the market outcome prior to international trade and the predicted outcome with international trade. Label the price, quantity demanded, quantity supplied, and amount of imports. What happens to the price that consumers pay for fruit and what impact will this have on consumer surplus? Use your graph to illustrate your answers
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