Question

The price that U.S. consumers pay for goods imported from Mexico has fallen and the quantity of U.S. imports from Mexico has ________. Because of these changes, the winners are U.S. ________ of goods imported from Mexico and the losers are U.S. ________ of goods imported from Mexico.

Answer 1

Options:

a. decreased; consumers; producers

b. increased; consumers; producers

c. decreased; producers; consumers

d. increased; producers; consumers

e. increased; producers; producers

Answer:

Option B is correct answer.

increased; consumers; producers

The price that U.S. consumers pay for goods imported from Mexico has fallen and the quantity of U.S. imports from Mexico has increased. Because of these changes, the winners are U.S. consumers of goods imported from Mexico and the losers are U.S. producers of goods imported from Mexico.

Explanation:

The lessening in the cost of good expands the import in the US so the US shoppers are champs as the US purchaser surplus increments and the US makers are failures as the US maker surplus declines.