Originally, GATT Members Had Agreed to Three Items

question 101

Multiple Choice

Originally, GATT members had agreed to three items. One of those was to _____

• A) protect U.S. industries and decrease world trade.
• B) manage legal and accounting requirements for U.S. tariffs and quotas.
• C) reduce import quotas.
• D) increase trade restrictions, after OPEC significantly raised oil prices.
• E) develop a free trade zone across 50 states.

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Definitions:

Price Sensitive

A term describing how the demand for a product changes in response to price changes; consumers are highly reactive to changes in price.

Elastic Demand

A situation in which the demand for a product or service significantly changes in response to a change in its price.

Elasticity of Demand

A measure of how responsive the quantity demanded of a good or service is to a change in its price.

Total Revenue

The total income received by a firm from the sale of its goods or services before any costs or expenses are deducted.