Question: Bolivia imports shoes, but also manufactures shoes domestically.

a. In a picture, show the equilibrium price, the quantity consumed, the quantity produced, and the quantity imported if there are no trade restrictions.

b. Now, suppose that a quota, placed on foreign-made shoes that results in a $50, decrease the number of shoes imported to Bolivia. In the same picture, show the equilibrium price, the quantity consumed, the quantity produced and the quantity imported after the quota in imposed.

c. Do a welfare analysis of both situations and show the consumers and producer surplus before and after the quota. Who gains and who loses and how much dead weight loss is there?