In the importing country, the most likely effects of tariffs and/or import quotas is to _______ prices and ________ consumption of the protected goods.
A) raise; reduce
B) raise; raise
C) raise; not affect
D) reduce; reduce
Ans: A) raise; reduce
Economics
You might also like to view...
Consider a country that produces only two goods: pineapples and tractors. Suppose it is possible for this country to increase its production of pineapples without producing fewer tractors. In this case, its current output combination is inefficient
Indicate whether the statement is true or false
Economics
The oversimplified multiplier formula assumes that the
a. level of consumption spending is fixed. b. price level is fixed. c. government spending is fixed. d. net exports depend on income.
Economics