Many People Argue That the Imposition of Tariffs in Industry

question 68

Multiple Choice

Many people argue that the imposition of tariffs in industry X will increase factor incomes in that industry and therefore be good for the country as a whole.The counter-argument is that

• A)the increase in industry X factor incomes would be more than offset by reductions in real incomes to all other domestic residents.
• B)the increase in factor incomes would increase unemployment.
• C)the increase in factor incomes in industry X would reduce profits to business owners by an equal amount.
• D)factor incomes would first rise and then decrease in industry X.
• E)factor incomes overall would increase,but wages in industry X would fall,which would hurt workers in that industry.

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Definitions:

Outcome

The result or consequence of an experiment or action, often considered in the context of probabilities.

Sample Space

The set of all possible outcomes or results in a statistical experiment or random trial, from which samples can be drawn for analysis.

Sample Space

The set of all possible outcomes or results of a random experiment or situation.

Outcomes

The possible results or consequences of a specific action, experiment, or situation in various contexts.