4. Table 1 gives the effect of a tariff on cotton sweaters. (Assume there is no difference between domestically produced...

4. Table 1 gives the effect of a tariff on cotton sweaters. (Assume there is no difference between domestically produced sweaters and foreign produced sweaters.) Table 1 Free Trade With a $4.00 Tariff World Price of sweaters Tariff per sweater Domestic Price of sweaters Sweaters consumed domestically (million sweaters/year) Sweaters produced domestically (million sweaters/year) Sweaters imported (million packs/year $42.00 0 $42.00 60 12 48 $42.00 $4.00 $46.00 52 18 34 a) Using an upward sloping domestic supply curve and a downward sloping demand curve, calculate the losses to domestic consumers from the tariff. b) Calculate the net effect on the country's welfare as a result of the tariff. c) Based on the information given in Table 1, would the optimum import tariff on sweaters be negative, zero, or positive? Why?