$4.00 Market Effects of Import Ban
O 'Sullivan/Sheffrin/Perez Microeconomics: Principles, Applications and Tools, 7/e (2012)
Text, page 94, #5.10 There is no need to draw a diagram, but please indicate which of the figures in Chapter 4 would best show the market effect of this ban on imports.
Market Effects of Import Ban. Consider the market for shoes in a nation that initially half the shoes it consumes. Use a demand and supply graph to predict the market effect of a on shoe imports. Arrow up or down: The equilibrium price will_________, and the equilibrium quantity will_____________.