In the figure above, U.S. consumers' ________ from the tariff is ...

[Frost2351]

In the figure above, U.S. consumers' ________ from the tariff is ________.
 
  A) loss; 176 million
  B) gain; 64 million
  C) loss; 80 million
  D) gain; 128 million

Question 2

In the figure above, suppose the demand for dollars temporarily decreases so that the demand curve shifts to D2. To maintain the target exchange rate, the Fed
 
  A) can sell dollars.
  B) can buy dollars.
  C) must violate both interest rate parity and purchasing power parity.
  D) cannot maintain the target exchange rate.

[mbcrismon]

Answer to Question 1

A

Answer to Question 2

B