International Trade Policy Quiz

• Producers benefit more from trade restrictions
• Governments should intervene to regulate market prices
• Producers and consumers allocate resources most efficiently without government distortion (correct)
• Consumers pay lower prices with restricted trade

• More than 10 percent of GDP
• Less than 1 percent of GDP (correct)
• Around 5 percent of GDP
• Dependent on the country's economic status

• Advanced economies like the United States and Europe
• Developing countries (correct)
• Japan
• Small countries with restricted trade policies

<p>Leads to distortions in production and consumption (D)</p> Signup and view all the answers

<p>The estimated benefits of moving to free trade are only a small fraction of national income for most countries (A)</p> Signup and view all the answers