Economists Are Generally Opposed to Tariffs or Other Restrictions on Imported

question 159

Multiple Choice

Economists are generally opposed to tariffs or other restrictions on imported goods because of the negative secondary effects they create that more than offset the benefits to employment in the domestic industry. Which of the following could be considered a secondary effect of these trade restrictions?

• A) The price to consumers of the good in question will be higher as a result of the restriction, meaning consumers will be worse off.
• B) As consumers must spend more money to purchase the good, there will be employment losses in other domestic industries as consumers cut back on their spending on other things.
• C) Because there is a link between a country's imports and its exports, less imports from other countries will result in lower domestic employment in export industries.
• D) All of the above.

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Definitions:

Childbirth

The process of giving birth to a baby.

Labor

The process of childbirth, especially the period from the start of contractions to delivery.

Delivery

The process of transporting goods from one place to another or the act of giving birth to a baby.

Antiseptics

Substances that prevent the growth of disease-causing microorganisms, often used on living tissues to prevent infection.