Podcast
Questions and Answers
What is the purpose of implementing import tariffs?
What is the purpose of implementing import tariffs?
- To protect domestic industries (correct)
- To increase consumer prices
- To decrease government revenue
- To encourage imports
Which term describes a tariff that is applied as a percentage of the price of the imported good?
Which term describes a tariff that is applied as a percentage of the price of the imported good?
- Specific tariff
- Export tax
- Quota
- Ad-valorem tariff (correct)
What is the role of export taxes in trade policy?
What is the role of export taxes in trade policy?
- To reduce government revenue
- To discourage exports (correct)
- To promote exports
- To lower consumer prices
Which trade policy instrument is specifically designed to counteract unfair pricing practices by foreign producers?
Which trade policy instrument is specifically designed to counteract unfair pricing practices by foreign producers?
How are most countries' import tariffs regulated in the World Trade Organization (WTO)?
How are most countries' import tariffs regulated in the World Trade Organization (WTO)?
What is the primary effect of imposing import tariffs on consumer prices?
What is the primary effect of imposing import tariffs on consumer prices?
In the context of trade policy instruments, what are 'non-tariff barriers' (NTBs)?
In the context of trade policy instruments, what are 'non-tariff barriers' (NTBs)?
'Countervailing duties' are specifically meant to address what issue in trade?
'Countervailing duties' are specifically meant to address what issue in trade?
'Local content requirements' are an example of which type of trade policy instrument?
'Local content requirements' are an example of which type of trade policy instrument?
What is the significance of 'Welfare Function' in the context of trade policies?
What is the significance of 'Welfare Function' in the context of trade policies?
What does the change in welfare depend on?
What does the change in welfare depend on?
Why does a small country in a perfect competition setting have an optimal tariff of zero?
Why does a small country in a perfect competition setting have an optimal tariff of zero?
What is the main purpose of a Voluntary Export Restraint (VER)?
What is the main purpose of a Voluntary Export Restraint (VER)?
How do quotas compare to tariffs in a perfect competition market?
How do quotas compare to tariffs in a perfect competition market?
What is the impact of import quotas efficiently auctioned by the government?
What is the impact of import quotas efficiently auctioned by the government?
Why did developed countries impose quotas on developing country exports of textiles and apparel between 1974 and 2004?
Why did developed countries impose quotas on developing country exports of textiles and apparel between 1974 and 2004?
In what scenario would a small importing country have a greater impact from a tariff?
In what scenario would a small importing country have a greater impact from a tariff?
'C(y)' represents the cost of producing good 'y'. What does 'C'(y) signify?
'C(y)' represents the cost of producing good 'y'. What does 'C'(y) signify?
'Imports are m = d(p) - y'. What does 'y' represent in this equation?
'Imports are m = d(p) - y'. What does 'y' represent in this equation?
What is the role of 'tm' in the context of social welfare?
What is the role of 'tm' in the context of social welfare?
Why does world welfare go down when the imposing country is small?
Why does world welfare go down when the imposing country is small?
What happens to the affected country when a large country imposes an import tariff?
What happens to the affected country when a large country imposes an import tariff?
How does a large country benefit its producers when it provides export subsidies?
How does a large country benefit its producers when it provides export subsidies?
What impact do trade policies by large economies have on world welfare?
What impact do trade policies by large economies have on world welfare?
What measures can be classified as Non-Tariff Barriers (NTBs) according to the text?
What measures can be classified as Non-Tariff Barriers (NTBs) according to the text?
In what scenario would an importing country impose antidumping duties?
In what scenario would an importing country impose antidumping duties?
What may safeguard measures include to protect domestic industries?
What may safeguard measures include to protect domestic industries?
What is the purpose of countervailing duties in international trade?
What is the purpose of countervailing duties in international trade?
What type of protection can a domestic industry request if facing increased imports causing harm?
What type of protection can a domestic industry request if facing increased imports causing harm?
Which entities were involved in disputes regarding measures prohibiting the import and marketing of seal products as per the text?
Which entities were involved in disputes regarding measures prohibiting the import and marketing of seal products as per the text?
What effect does a quota have on market power compared to a tariff?
What effect does a quota have on market power compared to a tariff?
How does a quota impact domestic prices compared to a tariff?
How does a quota impact domestic prices compared to a tariff?
What happens to the quantity of production by the domestic monopolist under a quota?
What happens to the quantity of production by the domestic monopolist under a quota?
In the context of imperfect competition, how does CAP's support mechanisms affect producer surplus?
In the context of imperfect competition, how does CAP's support mechanisms affect producer surplus?
Who bears the cost of subsidies provided under strategic trade policy?
Who bears the cost of subsidies provided under strategic trade policy?
Why would a country impose export taxes according to WTO rules?
Why would a country impose export taxes according to WTO rules?
What is one reason why Europe became an exporter of agricultural products despite free trade expectations?
What is one reason why Europe became an exporter of agricultural products despite free trade expectations?
Under WTO regulations, what is the impact of export subsidies on welfare?
Under WTO regulations, what is the impact of export subsidies on welfare?
'Beggar-thy-neighbor' policies are most likely to result in what outcome?
'Beggar-thy-neighbor' policies are most likely to result in what outcome?
Under strategic trade policy, who should receive the subsidy?
Under strategic trade policy, who should receive the subsidy?
