In Response to the Petition for Relief Filed by Harley-Davidson

question 23

Multiple Choice

In response to the petition for relief filed by Harley-Davidson Motor Company:

• A) A ban on imported motorcycles above 700 cubic cent. was implemented.
• B) The commission recommended that declining incremental duties on imported motorcycles be imposed for five years.
• C) Honda agreed to stop the export of its larger motorcycles for five years.
• D) The president threatened severe trade sanctions on Japan if they did not stop their dumping of motorcycles on the American market.

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Definitions:

Innovation

Innovation is the process of translating an idea or invention into a good or service that creates value or for which customers will pay.

Economic Profits

Profits in excess of what is considered normal or expected, considering both explicit and implicit costs.

Five Fundamental Questions

Key questions in economics that address what to produce, how to produce, for whom to produce, when to produce, and where to produce goods and services.

Central Bank

The national financial institution that oversees the monetary system of a country, controlling interest rates and currency supply.