00:03
Hello, let me start with the first question.
00:09
The first part of this question, if trade is avoided, so if there is no trade, spain consumes, as we can see, the equilibrium is at nine ranges, so nine ranges, at the price of 7.
00:35
5 .5 per one range.
00:40
This is the first question.
00:47
Okay, now let's go to the next, the second part.
00:53
With free trade for a world price of five dollars per one range, spain is producing how many? we can see that when price is 4, quantity supplied is equal to 4 ranges.
01:16
And this is the answer, 4 ranches.
01:20
Quantity supplied or supply of domestic producers is equal to 4 ranches.
01:28
The question number 3, again with free trade for a world price of $4.
01:37
Spain is consuming how many ranges so now we need to see quantity demanded at the price of four dollars and quantity demanded is equal to 15 so spain is consuming 15 ranches the next part part number four again with this free trade for all price of four dollars how many ranges is imported by spain.
02:13
Here we need to find the difference between quantity demanded and quantity supplied.
02:20
It's 15 minus 4 or 11 ranges are imported...