Suppose the following table reflects the domestic supply and demand for Bluetooth headphones:

Price ($) 60 55 50 45 40 35 30 25 Quantity supplied

(in millions per year) 8 7 6 5 4 3 2 1 Quantity demanded

(in millions per year) 2 4 6 8 10 12 14 16

(a) Graph these market conditions and identify

(i) The equilibrium price.

(ii) The equilibrium quantity.

(b) Now suppose that foreigners enter the market, offering to sell an unlimited supply of Bluetooth headphones for $35 apiece. Illustrate and identify

(i) The new market price.

(ii) Domestic consumption.

(iii) Domestic production.

(c) If a tariff of $5 per unit is imposed, what will be

(i) The market price?

(ii) Domestic consumption?

(iii) Domestic production?

Graph your answers.