In 2002,the United States Placed Higher Tariffs on Imports of Steel.According

question 89

Multiple Choice

In 2002,the United States placed higher tariffs on imports of steel.According to the open-economy macroeconomic model this policy should have

• A)reduced imports into the United States and made U.S.net exports rise.
• B)reduced imports into the United States and made the net supply of dollars in the foreign exchange market shift right.
• C)reduced imports of steel into the United States,but reduced U.S.exports of other goods by an equal amount.
• D)reduced imports of steel into the United States and increased U.S.exports of other goods by an equal amount.

---

Definitions:

Drive Reduction

A theory in psychology that posits that actions are motivated by the desire to reduce internal drives, such as hunger, that arise from biological needs.

Work Assignment

A task or set of tasks given to an individual or group as part of their job or studies.

Incentive

Something that motivates or encourages an individual to take action or behave in a certain way.

Homeostasis

The process by which living organisms regulate their internal environment to maintain a stable, constant condition for survival.