Explain the "Unfair Trade Practices" argument as a case against free trade
What will be an ideal response?
The argument is that foreign firms may sometimes behave strategically against a domestic firm or industry by setting prices below cost in an effort to monopolize the domestic industry. Since this type of behavior would generally be considered a violation of the Sherman and Clayton acts we should give the government power to fight back when it comes to foreign firms whom are not playing by the rules.
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Social Security benefits could be reduced in each of the following ways except
A) cutting the promised monthly benefit. B) increasing the retirement age. C) investing the trust fund in the stock market. D) reducing the degree to which benefits are adjusted for inflation.
In the long run, a competitive firm will earn zero economic profit
a. True b. False Indicate whether the statement is true or false