Efficiency of the Markets January 21, 2020 Interdependence and Gains from Trade Interdependence and Gains from Trade Demand and Supply What determines the quantity an individual demands? • Price • Income • Prices of Related Goods • Tastes • Expectations What determines the quantity an individual supplies? • Price • Input Prices • Technology • Expectations Consumers Surplus Consumers Surplus Producers Surplus Producers Surplus Efficiency of the Markets The cost of Taxation The cost of Taxation The cost of Taxation The cost of Taxation The cost of Taxation The Determinants of DWL Concentrate your attention on Chapter’s case-studies to discuss on the seminar International Trade International Trade International Trade: Export International Trade: Export International Trade: Import International Trade: Import International Trade: Effect of Tariffs International Trade: Effect of an import Quota Concentrate your attention on Chapter’s part: “Arguments for restricting trade” to discuss on the seminar