(Solved): 5. Effects of a tariff on international trade The following graph shows the domestic supply of and ...

5. Effects of a tariff on international trade The following graph shows the domestic supply of and demand for maize in Guatemala. Guatemala is open to international tade of maize without any restrictions. The world price \( \left(P_{w}\right) \) of maize is \( \$ 260 \) per ton and is represented by the horizontal black line. Throughout this problem, assume that the amount demanded by any one country does not affect the world price of maize and that there are no transportation of transaction costs associated with international trade in maize. Also, assume that domestic suppliers will satisfy domestic demand as much as possible before any exporting or: importing takes place. Use the graph input cool to help you answer the following questions, You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding umounts in each grey field will change accordingly. Graph input Tool Market for Maize in Guatemala II Price (Doklars per con) Domestic Demand (?) Thoushands of tons Domesuc Supply of maire) Thousands of tons It Guatemala is open fo intemagonal uade of maize without any restricions, a will import tons of maife. (Note: lie aure to enter the full value for your answer, accounting for the hocrontal axs units.) ton will achierm this. A tanitt set of this level nould raise in revenue for the Guatemalan government.