Tariffs
a. benefit consumers by lowering prices
b. harm producers by decreasing competition in the product market
c. harm consumers by increasing the quantity of goods available
d. skew the terms of trade in favor of importing nations
e. benefit domestic producers because they can charge higher prices and sell more output
E
You might also like to view...
"The market demand curve for labor is the horizontal summation of the labor demand curves of all firms." Do you agree or disagree? Why?
What will be an ideal response?
If potential buyers of good X expect the price of good X will soon fall, then the current
A) demand for good X will rise. B) demand for good X will remain unchanged. C) demand for good X will fall. D) quantity demanded of good X will fall. E) quantity demanded of good X will rise.
Which of the following is the best example of a capital good?
a. swimming pool b. vacation c. factory d. motorcycle
Which of the following statements is true about buying an old factory?
A. It is a financial investment but not an economic investment. B. It is an economic investment but not a financial investment. C. It is both an economic and a financial investment. D. It is neither an economic nor a financial investment.