If a country imposes a tariff on imported shoes, we expect the domestic price of shoes to _______ and the quantity of shoes consumed in the domestic market to _______ .

Entry to a perfectly competitive market is the long-run process of reducing production in response to a sustained pattern of losses

a. True b. False Indicate whether the statement is true or false

Import restrictions due to the imposition of tariffs by the U.S. government

A) will ultimately cause inefficient resource allocation in the United States. B) will lead to lower incomes in the economy of U.S. trade partners. C) will lead to a decline in the quantity of the product consumed in the United States. D) All of the above are likely to occur.