Discuss what do you recommend they do


Problem

Japan is trying to decide if they should increase their imports of LNG. They are currently importing 100 MMBtus at a price of $7/MMBtu. If they import 110 MMBtus, they will drive the price up to $7.50/MMBtu, given their monopsonistic position in the LNG import market. Alternatively, they can turn to a renewable backstop fuel that is available at $8/MMBtu. What do you recommend they do? Evaluated from an econmic point of view.

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Microeconomics: Discuss what do you recommend they do
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