An example of policies designed to encourage new local industries serving the domestic market would be
A. imposing import tariffs or otherwise restricting imports.
B. removing all trade restrictions and price supports.
C. subsidizing imports to the domestic market.
D. taxing exports of manufactured goods.
Answer: A
You might also like to view...
Refer to Figure 19-12. The graph above, depicts supply and demand for U.S. dollars during a trading day. At a fixed exchange rate of 0.30 pounds per dollar, the dollar is ________ versus the pound
A ________ of the dollar would correct the fundamental disequilibrium that exists in this market. A) overvalued; revaluation B) overvalued; devaluation C) undervalued; devaluation D) undervalued; revaluation
The impact of monetary policy on the exchange rate is emphasized by
A) supply-side economists. B) Monetarists. C) Keynesians. D) rational expectations theorists.