Which of the Following Statements About Trade Restrictions Is True

question 159

Multiple Choice

Which of the following statements about trade restrictions is true?

• A)Trade restrictions are a benefit to consumers.
• B)All types of trade restrictions will increase government revenue.
• C)Foreign producers always benefit when trade restrictions are imposed.
• D)Domestic producers always lose revenue when trade restrictions are imposed.
• E)Domestic producers benefit at the expense of domestic consumers and foreign producers.

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Definitions:

United Nations

An international organization founded in 1945 to promote peace, security, and cooperation among countries worldwide.

Wheel of Innovation

A conceptual model illustrating the process of innovation in stages, from idea creation to implementation and diffusion.

Scaling

The process of adjusting or adapting the size, scope, or capabilities of something to accommodate different levels of demand or operational requirements.

Reverse Innovation

A strategy where products are initially developed for emerging markets and then adapted for more developed markets.