CH6-7 Tariffs and NTBs student

CH6-7 Tariffs and NTBs student - ECO369 International...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
ECO369 International Economic Issues Lecture Outline GVSU, Wei Sun Chapters 6 and 7. Tariffs and Nontariff Barriers I. Some Definitions Commercial policy – Tariff – Quota – Subsidy – Non-tariff barriers – II. Tariffs: An Introduction Types of tariffs: 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
III. Basic Concepts for Economic Analysis A. Consumer Surplus Consumer Surplus – Example: At a price = $5, 3 units of Soybean are sold. Highest bidder: $10, Consumer Surplus = Second highest bidder: $7, Consumer Surplus = Lowest bidder: $5, Consumer Surplus = Total Consumer Surplus = Given a demand curve, Consider: what happens to CS if P rises? Falls? B. Producer Surplus Producer surplus – 2
Background image of page 2
market price of the good is $10, 3 units are sold. The lowest cost producer can producer it at $5. Producer surplus = The medium cost producer can producer it at $7. Producer surplus = The highest cost producer can producer it at $10. Producer surplus = Total producer surplus in the market = Given a supply curve, Consider: what happens to PS if P rises? Falls? IV.
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 9

CH6-7 Tariffs and NTBs student - ECO369 International...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online