A-LevelEconomicsInternational economic issues9708/12 · May/June 2019 · Q241 Mark

The diagram shows the imposition of an import tariff. Sw is world supply. Sw + tax is world supply after the tariff is imposed. Which statement is not correct?

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ADomestic demand will fall from q4 to q3.

BImports will change from q1q4 to q2q3.

CImports will fall from q4 to q3.

DSupply of domestic goods will increase from q1 to q2.

✓ Correct answer

C: Imports will fall from q4 to q3.

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Topic: International economic issues, A-Level Economics (syllabus 9708). Multiple choice, 1 mark.
Source: A-Level Economics, May/June 2019 Paper 1 Variant 2, question 24.

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