Export Subsidies Levied by Foreign Governments on Products in Which

question 1

Multiple Choice

Export subsidies levied by foreign governments on products in which the United States has a comparative disadvantage:

• A) Lower the welfare of all Americans
• B) Lead to increases in U.S.consumer surplus
• C) Encourage U.S.production of competing goods
• D) Encourage U.S.workers to demand higher wages

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