It Is Sometimes Contended That by Imposing Import Controls a Country

question 54

Multiple Choice

It is sometimes contended that by imposing import controls a country might be able to increase its exports.This contention is premised on ________.

• A)the country's simultaneous currency depreciation, which decreases the price of its exports
• B)using the import taxes to institute efficiency measures in potential export industries
• C)raising domestic prices in one industry so that the excess domestic profits in that industry can compensate for the cost of dumping products from another industry into foreign markets
• D)getting other countries to maintain or relax their current import restrictions instead of escalating restrictions in a trade war

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