When the Government Increases Tariffs

question 21

Multiple Choice

When the government increases tariffs:

• A) production switches from low-cost foreign producers to high-cost domestic producers, causing resources to be wasted.
• B) domestic consumers buy more goods, increasing the gains from trade.
• C) domestic producers produce more output, increasing the gains from trade.
• D) deadweight losses are eliminated because foreign producers sell their product below cost.

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Definitions:

Organizational Culture

The core beliefs and assumptions that are widely shared by all organizational members.

Benefits Administration

The process by which an organization manages and organizes employee benefits, including insurance, retirement plans, leave policies, and other perks.

High-Involvement Work Practices

A set of human resource practices aimed at increasing employee performance.

Employee Self-Service

A system that allows employees to handle many job-related tasks (such as applications for leave, updating personal information, and viewing benefits) that traditionally were performed by management or HR departments.