If a Tariff Is Imposed on Imports of Prawns into Australia

question 44

Multiple Choice

If a tariff is imposed on imports of prawns into Australia, Australian consumer surplus from prawns will ________ and Australian total surplus from prawns will ________.

• A) increase; increase
• B) increase; decrease
• C) decrease; increase
• D) decrease; decrease
• E) increase; not change

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Definitions:

Performance Boost

An improvement in performance, often due to certain interventions, motivations, or conditions.

Dual Process Approach

A cognitive theory that proposes there are two distinct systems in the mind, one intuitive and fast, and the other deliberative and slow, influencing decision making and reasoning.

Reflective Processes

Cognitive operations that involve deliberate, conscious thinking and evaluation, typically guiding decision-making and behavior based on reflection.

Coordinated Processes

Activities or systems that are managed in a way that ensures they operate harmoniously and efficiently towards a common goal.