Tariffs Are NOT Defended on the Grounds That They

question 1

Multiple Choice

Tariffs are NOT defended on the grounds that they

• A) improve the terms of trade of foreign nations.
• B) protect jobs and reduce unemployment.
• C) promote growth and development of young industries.
• D) prevent over-dependence of a country on only a few industries.
• E) protect domestic producers from foreign low prices.

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Definitions:

Quick Assets

Assets that can be quickly converted into cash within 90 days or less, such as cash, marketable securities, and accounts receivable.

Marketable Securities

Financial instruments that can be easily converted into cash, such as stocks and bonds, typically held for short-term investment purposes.

Long-term Investments

Long-term investments are assets that a company intends to hold for more than one year, such as stocks, bonds, or real estate.

Current Ratio

This ratio assesses an entity's potential to cover its short-term dues using resources that are expected to be liquidated within a year.