Which of the following is NOT a reason people tolerate tariffs and quotas?
A) Ignorance
B) Their personal jobs depend on tariffs and quotas.
C) Costs may be hidden and hard to quantify.
D) Costs of the policy are spread over a large number of people.
E) The marginal expenses to fight the protection outweigh the personal marginal costs of the protection.
B
You might also like to view...
In the Keynesian model with government and the foreign sector added, what are the components of spending? Which of these components are autonomous and which are not? How is the equilibrium found?
When the economy is not at an equilibrium, what adjustments are made?
If firms are price setters, a small decline in the demand for their outputs will cause them to
A) reduce price and reduce the level of output produced. B) reduce output in the short run, but reduce price in the long run. C) reduce price in the short run, but reduce output only in the long run. D) increase price in the short run to offset the effect on profits of a decline in output.