Gce Model Questions Vol1 2023 Economics Question 5
Practice objective / multiple choice question 5 from the 2023 Gce Model Questions Vol1 Economics examination.
Country Y imports cars and exports coffee. The world price of coffee is \(\$2\) per kg and the world price of a car is \(\$20{,}000\). Country Y exports \(500{,}000\) kg of coffee and imports \(100\) cars. The government introduces a 10 % tariff on imported cars, assuming quantities imported remain unchanged. Calculate (a) the price paid by consumers for a car after the tariff, (b) the total expenditure on cars after the tariff, and (c) the tariff revenue collected (in \(\$\)).
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About This Question
This is Gce Model Questions Vol1 2023 Economics Question 5. It is one of the objective questions from the 2023 Gce Model Questions Vol1 Economics examination.
Difficulty level: Medium .
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