8. Use your knowledge about trade policy to evaluate each of the following statements: a. Tariffs on

Question:

8. Use your knowledge about trade policy to evaluate each of the following statements:

a. “Tariffs on imported goods will increase domestic price, leading to high unemployment.”

b. “High tariffs and quotas can result in trade wars between nations.”

c. “Smartphone manufacturing jobs are heading back to United States because wages started to rise in China. As a result, we should implement tariffs on smartphones equal to the difference between U.S. and China’s wage rates.”

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