Effects of International Trade on Domestic Markets Essay

 Effects of International Trade on Domestic Markets Essay

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Order ID 53563633773
Type Essay
Writer Level Masters
Style APA
Sources/References 4
Perfect Number of Pages to Order 5-10 Pages
Description/Paper Instructions
 Effects of International Trade on Domestic Markets Essay

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Instructions

International trade can have big effects on domestic markets. For both an import good and an export good (in other words, address each bulleted item below twice—once for import and once for export), describe how opening up to international trade affects the following:

**supply or demand for the particular good,

**the competitiveness of that good’s market, and

**how the change in competitiveness affects equilibrium price and quantity.

Stepping away from the import/export examples, describe how opening up to trade specifically affects a domestic monopoly. Include an explanation, using game theory, of how even a single additional competitor can lead to a market outcome similar to perfect competition.

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