Which of the following statements is true of the impact of trade restrictions on domestic employment?
a. Domestic firms will produce the goods that otherwise would have been produced abroad, thus employing foreign workers instead of domestic workers.
b. Beside the protected industry, other industries will also benefit in terms of employment.
c. Domestic consumers will be required to pay lower prices for the output of the protected industry.
d. Restrictions imposed on trade simply redistribute jobs by creating employment in the protected industry and reducing employment elsewhere.
e. If other countries retaliate by restricting the entry of the domestic exports, the output of domestic firms that produce for export will rise.
d
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What did Steckel (1986) find when he compared the slave population to today's white population?
(a) The mortality rates of the slaves were much higher than those of modern whites. (b) Prenatal and postnatal care was the same. (c) The number of pregnancies brought to term in each group was about the same. (d) All of the above.
Suppose workers become pessimistic about their future employment, which causes them to save more and spend less. If the economy is on the intermediate range of the aggregate supply curve, then:
a. both real GDP and the price level will fall. b. real GDP will fall and the price level will rise. c. real GDP will rise and the price level will fall. d. real GDP and the price level will rise.
Sally’s Sweaters operates in a perfect competition market. This means Sally faces which of the following?
a. Many competitors and is a price taker b. Many competitors and is a price setter c. Few competitors and is a price taker d. Few competitors and is a price setter
Which barrier to entry into the market is created when firms engage in predatory pricing?
a. Control of a physical resource b. Intimidating potential competitors c. Legal monopoly d. Natural monopoly