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30 Jul 2024, 17:57
Kudos
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Dropdown 1: 50%
Dropdown 2: increase four times
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
95%
(hard)
Question Stats:
33% (02:42) correct
67%
(03:01)
wrong
based on 403
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The graph shows the trade value of edible fishery products between the United States and various regions, measured in billions of dollars in 2018.
If in 2018, 20% of U.S. exports to Asia were to India, and 40% of U.S. imports from Asia were from India, then the trade deficit with India accounted for approximately of the U.S. trade deficit with Asia.
The U.S. would have had to its level of edible fishery exports to eliminate the trade deficit.
Attachment:
I02-01.png [ 65.61 KiB | Viewed 5728 times ]
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Official Answer
Dropdown 1: 50%
Dropdown 2: increase four times
21 Nov 2024, 04:11
Kudos
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Bunuel
Official Solution:
Drop-down 1:
U.S. exports to Asia were 3 billion, and 20% of that would be 0.6 billion. U.S. imports from Asia were 10 billion, and 40% of that would be 4 billion. The trade deficit with India, therefore, would be 0.6 billion - 4 billion = -3.4 billion, which is approximately 50% of the total deficit with Asia, which is 7 billion.
Drop-down 2:
The total export from the U.S. is approximately \(1 + 0.1 + 1 + 3 + 0.1 = 5.2\) billion, while the total import is \(4.2 + 3.9 + 2.3 + 10 + 0.4 = 20.8\) billion. Therefore, the U.S. would have had to increase its level of edible fishery exports fourfold to eliminate the trade deficit.
Correct answer:
Dropdown 1: "50%"
Dropdown 2: "increase four times "
24 Nov 2024, 10:22
Kudos
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1. Part 1. The question asks us to calculate the percent of trade deficit the US has with Asia that is accounted by India.
2. The trade value of imports and exports in Asia is 10 and 3, respectively. India accounts for \(10 * 0.4 = 4\) and \(3 * 0.2 = 0.6\). Trade deficit is the difference in trade value between exports and imports. So, India accounts for \(\frac{0.6 - 4}{3 - 10} = \frac{-3.4}{-7} \approx 0.5 = 50\%\).
3. Part 2. Eliminating the trade deficit requires the trade value of exports and imports to be the same. The current total trade value of imports is around 4 + 4 + 2 + 10 = 20 and for exports it is around 1 + 1 + 3 = 5. So, to go from 5 to 20, the US needs to increase its level of exports by 4 times.
4. Our answer will be: 50% and "increase 4 times".
2. The trade value of imports and exports in Asia is 10 and 3, respectively. India accounts for \(10 * 0.4 = 4\) and \(3 * 0.2 = 0.6\). Trade deficit is the difference in trade value between exports and imports. So, India accounts for \(\frac{0.6 - 4}{3 - 10} = \frac{-3.4}{-7} \approx 0.5 = 50\%\).
3. Part 2. Eliminating the trade deficit requires the trade value of exports and imports to be the same. The current total trade value of imports is around 4 + 4 + 2 + 10 = 20 and for exports it is around 1 + 1 + 3 = 5. So, to go from 5 to 20, the US needs to increase its level of exports by 4 times.
4. Our answer will be: 50% and "increase 4 times".
