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The Diagram Below Shows the Domestic Demand and Supply Curves

question 98

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The diagram below shows the domestic demand and supply curves for denim jeans in Canada. The prevailing world price is PW. Assume that all jeans are identical.
The diagram below shows the domestic demand and supply curves for denim jeans in Canada. The prevailing world price is P<sub>W</sub>. Assume that all jeans are identical.    FIGURE 34- 2 -Economists would tend to accept which of the following arguments in favour of tariffs? A) Tariffs are needed to limit imports and reduce the capital flow from the country. B) Tariffs will stimulate the domestic economy. C) Tariffs are needed to avoid exporting jobs. D) Temporary tariff protection in some situations may help to generate an eventual comparative advantage in that product. E) Tariffs help to reduce inflation by reducing the price of domestic products. FIGURE 34- 2
-Economists would tend to accept which of the following arguments in favour of tariffs?


Definitions:

Center of Town

The central or main part of a town or city, often characterized by a concentration of retail shops, offices, and cultural activities.

Pronoun Error

A grammatical mistake that occurs when a pronoun does not correctly refer to its antecedent or does not agree in number, gender, or person.

Pizza Making

The art and practice of creating pizzas, involving the preparation of dough, sauce, toppings, and baking.

Pronoun Error

A grammatical mistake made when the wrong pronoun is used in a sentence, often leading to confusion or unclear reference.

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