Mexican grape producers are worse off because they lose sales of exported grapes to the United States, and Mexican grape pickers are worse off because they lose the wages that were associated with the lost sales. The lower demand for Mexican grapes caused by the strike implies that the price Mexican consumers pay for grapes falls, making them better off. U.S. grape pickers are better off because their wages increase as a result of the increase of Q_A − Q_S in U.S. sales.