In 2006, the European Union (EU) Threatened to Ban Imports

question 130

Multiple Choice

In 2006, the European Union (EU) threatened to ban imports of long-grain rice because traces of genetically modified rice were found mixed in to commercial supplies. Instead of a ban, suppose the EU placed a tariff on the import of long-grain rice. Which of the following would be an outcome of this tariff?

• A) The EU would gain tariff revenue.
• B) Deadweight loss would decrease.
• C) European rice producers would decrease production.
• D) The price of long-grain rice in the EU would not change.

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Definitions:

Forging Process

The manufacturing process of shaping metal through the application of force, often resulting in stronger parts.

Center Line

In statistical process control charts, it represents the average or median of a set of data points, helping identify trends or shifts over time.

Compressive Strength

The capacity of a material or structure to withstand loads tending to reduce size, measured as the maximum stress it can bear without failure.

Injection Molding

A production method where molten material is injected into a mold to create components.