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(Solved): Calculate the following values using the figure below, which shows domestic supply and demand for s ...
Calculate the following values using the figure below, which shows domestic supply and demand for steel in the United States under autarky. Instructions: Enter your answers as a whole number. a. Under autarky, the equilibrium domestic price is $ and the equilibrium domestic quantity is thousand tons of steel. b. Suppose the United States allows trade, and the post-trade domestic quantity supplied is 150 thousand tons of steel. The world price must be $ and the domestic quantity demanded is thousand tons of steel. c. The United States is a of steel. d. thousand tons of steel are imported.
a. Under autarky, the equilibrium domestic price is
$300 and the equilibrium domestic quantity is 200 thousand tons of steel.
Under autarky, domestic equilibrium is determined by the intersection of domestic demand and domestic supply.