Demand:
Supply:
Country A (Importer)
Price Change
$0
Consumer Surplus
$0
Producer Surplus
$0
Gov Revenue
$0
Deadweight Loss
$0
Terms of Trade
$0
Net Welfare
$0
Country A
Supply
Demand
CS
PS
World P
+Tariff
Autarky
Trade
50
Free
Revenue
$0
Country B
Supply
Demand
GR
DWL
World P
+Tariff
Autarky
Country B (Exporter)
Price Change
$0
Consumer Surplus
$0
Producer Surplus
$0
Gov Revenue
$0
Deadweight Loss
$0
Terms of Trade
$0
Net Welfare
$0
With 0% tariff, goods flow freely at world price. Both countries maximize welfare.
$50
A Price
$50
B Price
50
Trade
$0
DWL