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Blizzard [7]
3 years ago
5

In 2009, the U.S. government imposed a 35% tariff on tires imported from China. (The numbers and equations used here are simplif

ied based on the results of a much more complicated model.) Demand is given by QD = 105 − 1.5P where QD is in millions of tires per year. Supply is QS = 1.5873P − 15.873. Assuming the effective tariff is $20 per tire, consumer surplus after the tariff is imposed will be $ _____. (Round your answer to the nearest integer.)
Business
1 answer:
Verdich [7]3 years ago
4 0

Answer:

In 2009, the U.S. government imposed a 35% tariff on tires imported from China. (The numbers and equations used here are simplified based on the results of a much more complicated model.) Demand is given by QD = 105 − 1.5P where QD is in millions of tires per year. Supply is QS = 1.5873P − 15.87.

Explanation:

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