How Might an Export Tariff in a Large Country Improve

question 141

Multiple Choice

How might an export tariff in a large country improve the
Country's economic welfare?

• A)The export tariff will always improve the country's welfare, since there are no deadweight consumption and
• Production losses.
• B)The export tariff will improve the country's welfare if terms of trade gains are larger than deadweight
• Consumption and production losses.
• C)The export tariff will never improve the country's welfare, since deadweight consumption and production
• Losses always outweigh terms of trade gains.
• D)The export tariff will improve the country's welfare if deadweight consumption and production losses are greater
• Than terms of trade gains.

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Definitions:

Trust

Confidence in the honesty, integrity, reliability, and fairness of a person or system.

Major Institutions

Key established organizations or foundations, especially those influential in society, like schools, hospitals, or banks.

Decreased Substantially

Reduced in size, amount, or extent by a large margin.

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors, driving individuals to pursue and achieve their objectives.