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Econ 440 – Homework 4
Econ 440 – Homework 4
Econ 440 – Homework 4 in $14 only
1. Agronomia is a SMALL country that takes the world price of corn as given. Its domestic supply and demand for corn is given by the following:
D = 45 – 3P and S = 3P – 9
a. Assume initially that Agronomia does not open to trade. What is the autarky (no trade) equilibrium price and quantity? (1 point).
b. Suppose Agronomia decides to engage in trade. Determine…
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