• Answer Questions for Review 1, 4 and 5 at the end of Chapter 7, Questions for Review 1, 3 and 4 at the end of Chapter 8, and Questions for Review 1, 2, 4 and 5 at the end of Chapter 9.
• Access the Chapter videos from your Textbook link to augment this week’s discussions.
• Read/view the articles provided in the attached files.
• Answer/respond to the Unit 2 Discussion Board.

Chapter 7:

1. Explain how buyers’ willingness to pay, consumer surplus, and the demand curve are related.

2. What is efficiency? Is it the only goal of economic policymakers?

3. Name two types of market failure. Explain why each may cause market outcomes to be inefficient.

Chapter 8:

1. What happens to consumer and producer surplus when the sale of a good is taxed? How does the change in consumer and producer surplus compare to the tax revenue? Explain.

2. How do the elasticities of supply and demand affect the deadweight loss of a tax? Why do they have this effect?

3. Why do experts disagree about whether labor taxes have small or large dead weight losses?

Chapter 9:

1. What does the domestic price that prevails without international trade tell us about a nation’s comparative advantage?

2. When does a country become an exporter of a good? An importer?

3. Describe what a tariff is and its economic effects.

4. List five arguments often given to support trade restrictions. How do economists respond to these arguments?