Where does the strongest political backing for high-protectionist trade policies originate ?
Show answer Hide answer
Answer: D. domestic consumers lobbying for import restrictions
Explanation
Domestic producers lobbying for import restrictions provide the strongest political backing for protectionist trade policies.
Related questions
Q1. What is the exclusive legal privilege to print or publish an author's work called ?
Show answer Hide answer
Answer: C. Copyright
Copyright provides the exclusive legal right to print, publish, and distribute an author's creative work. Creators rely on copyright protection to prevent unauthorized copying and commercial exploitation of their intelle...
Q2. Why do social costs arise from monopoly power ?
Show answer Hide answer
Answer: D. there is too little output at too high a cost
Monopoly power creates deadweight loss by restricting output below efficient levels. Monopolists charge higher prices while supplying too little output to the market. This distortion generates social costs and inefficien...
Q3. What represents the smallest ownership unit in a corporation as______________?
Show answer Hide answer
Answer: A. A share
A share represents the smallest fractional unit of ownership in a corporation. Shareholders hold equity stakes proportional to the total number of corporate shares they possess. Purchasing shares grants investors voting...
Q4. How do economists characterize the short run ?
Show answer Hide answer
Answer: B. at least one fixed factor of production and firms neither leaving nor entering the industry
The short run features at least one fixed factor of production. Firms cannot enter or exit the industry during this limited timeframe. Variable inputs like labor can be adjusted while capital remains fixed. Microeconomic...
Q5. The shorter the ______ pass-through period, the ______ the favorable balance of trade impact of a devaluation on traded volumes will appear ?
Show answer Hide answer
Answer: A. sooner
A shorter pass-through period means exchange rate changes affect trade prices sooner, improving the trade balance more quickly. Rapid price adjustments allow export volumes to respond rapidly to currency devaluation bene...
Q6. What is the slope of the marginal revenue curve ?
Show answer Hide answer
Answer: D. twice as steep as the demand curve
Calculus demonstrates that for a linear demand equation, the derived marginal revenue curve has double the slope. Marginal revenue drops at twice the rate of price reductions because lower prices apply to all previous un...