Strategic trade protectionism makes a all countries

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Exploring Microeconomics
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Chapter 18 / Exercise 20
Exploring Microeconomics
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147. Strategic trade protectionism makes:A) all countries better off.B) no one better off.C) foreign countries better off at the expense of the domestic country.D) the domestic country better off at the expense of foreign countries.Ans: DDifficulty: MediumSkill Descriptor: Concept-BasedTopic: Arguments Against International Trade148. If the U.S. government wanted to use strategic trade protectionism for U.S.-produced fertilizer it would:A) place high taxes on foreign-made fertilizer.B) place a trade quota on foreign-made fertilizer.C) subsidize U.S. producers of fertilizer.D) place a tax or put a limit on the exports of U.S. fertilizer.Ans: DDifficulty: MediumSkill Descriptor: Concept-BasedTopic: Arguments Against International Trade
We have textbook solutions for you!
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Exploring Microeconomics
The document you are viewing contains questions related to this textbook.
Chapter 18 / Exercise 20
Exploring Microeconomics
Sexton
Expert Verified
149. For strategic trade protectionism to be effective, the:A) good in question must be produced with high-tech equipment.B) supply of the good in question must be elastic.C) supply of the good in question must be inelastic.D) good in question must be one of many goods that the country exports.Ans: CDifficulty: MediumSkill Descriptor: Concept-BasedTopic: Arguments Against International TradeTrue/False150. The economics of international trade is substantially different from that of ordinary trade.Ans: FalseDifficulty: EasySkill Descriptor: Concept-BasedTopic: Introduction151. International and intranational trade are very different in terms of economic analysis.Ans: FalseDifficulty: MediumSkill Descriptor: Concept-BasedTopic: Introduction152. Both domestic production and consumption increase because of tariffs.Ans: FalseDifficulty: EasySkill Descriptor: Concept-BasedTopic: Analyzing Trade with Supply and Demand
153. In the case of sugar, moving from a situation of no trade to free trade causes both domestic consumption and production to increase.Ans: FalseDifficulty: MediumSkill Descriptor: Concept-BasedTopic: Analyzing Trade with Supply and Demand154. If, at a world price of $200, domestic consumers buy 900 units and domestic producers sell 600 units, imports equal 1,500.Ans: FalseDifficulty: MediumSkill Descriptor: Concept-BasedTopic: Analyzing Trade with Supply and Demand155. Trade makes people better off when preferences are the same.Ans: FalseDifficulty: EasySkill Descriptor: Concept-BasedTopic: Analyzing Trade with Supply and Demand156. Trade makes people better off through specialization.Ans: TrueDifficulty: EasySkill Descriptor: Concept-BasedTopic: Analyzing Trade with Supply and Demand
157. Protectionism protects domestic industries from the competitive forces exerted by foreign firms.Ans: TrueDifficulty: EasySkill Descriptor: Concept-BasedTopic: Analyzing Trade with Supply and Demand158. With free trade, the domestic price of a good must be equal to the world price of a good.Ans: TrueDifficulty: EasySkill Descriptor: Concept-BasedTopic: Analyzing Trade with Supply and Demand159. If the United States imports teacups from other countries, then U.S. producers of teacups are better off, and U.S. consumers of teacups are worse off, as a result of trade.

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