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Suppose Ukraine subsidizes Ukrainian wheat farmers, while Russia offers no subsidy to Russian wheat farmers. As a result of the Ukrainian subsidy, sales of Ukrainian wheat to Russiaa. may prompt Russian
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Suppose Ukraine subsidizes Ukrainian wheat farmers, while Russia offers no subsidy to Russian wheat farmers. As a result of the Ukrainian subsidy, sales of Ukrainian wheat to Russiaa. may prompt Russian farmers to invoke the infant-industry argument.b. increase the consumer surplus of Russian buyers of wheat.c. decrease the total surplus of the Russian people.d. All of the above are correct.

User Pape
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Answer:

The answer is b. Increase the consumer surplus of russian buyers of wheat.

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User Joseph Mansfield
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