Mention and Explain at Least Two Effects of International Trade

question 181

Essay

Mention and explain at least two effects of international trade restrictions.

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Definitions:

Availability Heuristic

A cognitive bias where individuals rely on immediate examples that come to mind when evaluating a specific topic, concept, method, or decision.

Cognitive Biases

Misperceptions or misunderstandings that cause systematic errors. Most result either (1) from heuristics that are prone to systematic errors or (2) because the brain is attempting to solve a type of problem (such as a calculus problem) for which it was not evolutionarily evolved and for which it has little innate capability.

Media Coverage

The reporting and analysis of news and information by various media outlets, influencing public perception and awareness of events and issues.

Behavioral Economics

A field of economics that examines how psychological, social, cognitive, and emotional factors affect the economic decisions of individuals and institutions.