The Canada–European Union Comprehensive Economic and Trade Agreement (CETA) becomes effective July 2017. It will increase Canada’s European cheese import quota by 17,700 tonnes. The change could cost Canadian producers $230 million a year with up to 400 jobs lost.

a. What does the news clip imply about the comparative advantage of producing cheese in the European Union and Canada?

b. Are any of the arguments for protection valid reasons for a cheese import quota?