Steel producers in the United States observe that foreign sales of U.S. steel has drastically declined due to stringent trade policies adopted by the foreign governments and unfair treatment of U.S. steel exports in foreign countries. The lobbying efforts of such loss making U.S. steel manufacturers induce the domestic government to restrict the entry of imported steel and help stimulate the

sales of domestically produced steel. Which of the following tariffs is most similar to the example mentioned above?
a. A tariff imposed by the government to stimulate domestic production of a high-technology good with positive spillover effects
b. A tariff imposed by the government on the import of cotton textiles because it is an infant industry in the domestic country
c. An import tariff applied against a foreign monopoly supplying the domestic market
d. Tariffs imposed by the government on an import competing industry that generates a negative production externality
e. Reciprocal tariffs introduced by the government of a country as a call for fair trade


e

Economics

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If real GDP in Korea amounted to 448.3 trillion wons in 1999 and 473.7 trillion wons in 2000 . compute the growth experienced by this country in 2000?

a. 5.4% b. 5.66% c. 2.54% d. -1.05% e. -9.4%

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The extra production gained by employing one more worker is called the:

A. marginal product. B. nominal wage. C. surplus product. D. real wage.

Economics

If monetary policy must be used to set the market equilibrium value of the exchange rate equal to the official value, it:

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Economics