From the following figure,in which Dc and Sc refer,respectively to the domestic demand and supply curves of cloth,and SF and SF+T refer,respectively,to the world supply curve of cloth under free trade and with a 50% import tariff imposed by the nation on the importation of cloth,determine:
(a)the consumption,production effect,and the trade effect of the tariff.
(b)the reduction in consumer surplus,the increase in producer surplus or rent,the tariff revenue,and the protection cost or deadweight loss to the economy as a result of the tariff.

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The Answer of From the following figure,in which Dc and Sc refer,respectively to the domestic demand and supply curves of cloth,and SF and SF+T refer,respectively,to the world supply curve of cloth under free trade and with a 50% import tariff imposed by the nation on the importation of cloth,determine:
(a)the consumption,production effect,and the trade effect of the tariff.
(b)the reduction in consumer surplus,the increase in producer surplus or rent,the tariff revenue,and the protection cost or deadweight loss to the economy as a result of the tariff.

From the Following Figure,in Which Dc and Sc Refer,respectively to the Domestic