Import restrictions
A) can protect United States jobs in the protected industry, which increases economic welfare of the country as a whole.
B) can protect United States jobs in the protected industry but will also lead to job reductions in other export industries.
C) hurt people who work in importing companies, but makes consumers better off.
D) cannot protect American jobs in any sector of the economy.
B
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Holding other things constant, increases in the price level in the US will
a. Cause the dollar to appreciate b. Cause the dollar to depreciate c. Does not affect the dollar value d. None of the above
Answer the following statements true (T) or false (F)
1) Mexican importers are suppliers of pesos in the foreign exchange market. 2) When the dollar price of yen rises, the dollar appreciates in value relative to the yen. 3) Import quotas are taxes or duties on imported products. 4) Barriers to free trade impair efficiency in the international allocation of resources. 5) The most-favored-nation clause in reciprocal trade agreements means that any tariff reductions the United States negotiates with a specific nation will automatically apply to many other nations.