One reason why we might want to impose restrictions on free trade is to protect infant domestic industry in the formative stages of development and thus unable to compete yet on world markets
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
In behavioral economics, the endowment effect refers to the fact that
A) most people believe that most wealthy people inherit their wealth. B) many people would be indifferent between being endowed with money or knowledge. C) many people place a higher value on what they own than the same item they are considering purchasing. D) most people respond to tax incentives to provide an endowment for their children.
Normative economic statements
A) are statements of "what ought to be." B) are statements of "what is." C) are statements that may be tested by referring to facts and data. D) do not involve value judgments.
In economic analysis, the optimal level of pollution
A. is always zero. B. arises at the point at which the marginal benefit from further reduction equals the marginal cost of further reduction. C. should be determined by the private market without any government intervention. D. occurs at the point at which demand crosses the private cost supply curve.
Turning points in business cycles occur when
A. a new business cycle is initiated at the trough. B. the business cycle begins to follow a new pattern that differs from previous business cycles. C. the economy hits the peak or trough in the business cycle. D. a new business cycle is initiated at the peak.