-Refer to Exhibit 34-8.Assume that the current price of sugar in the United States is $300 per ton (which includes a $100 per ton tariff on sugar imports).Americans purchase __________ million tons of sugar from U.S.producers and import __________ million tons of sugar from abroad.
A) 15; 10
B) 15; 20
C) 10; 5
D) 10; 15
E) 10; 20

Question

-Refer to Exhibit 34-8.Assume that the current price of sugar in the United States is $300 per ton (which includes a $100 per ton tariff on sugar imports).Americans purchase __________ million tons of sugar from U.S.producers and import __________ million tons of sugar from abroad.
A) 15; 10 
B) 15; 20 
C) 10; 5 
D) 10; 15 
E) 10; 20

Quizplus · Accepted Answer

The correct answer is C) 10; 5 because the current price of $300 per ton includes a $100 tariff, suggesting that the domestic production is higher due to the tariff, leading to 10 million tons being purchased from U.S. producers and 5 million tons being imported.