For each of the goals listed in exercise 1, discuss what the appropriate commercial policy is likely to be (in terms of tariffs, quotas, subsidies, etc.).

Data from in exercise 1

What are the potential benefits and costs of a commercial policy designed to pursue each of the following goals?

a. Save domestic jobs

b. Create a level playing field

c. Increase government revenue

d. Provide a strong national defense

e. Protect an infant industry

f. Stimulate exports of an industry with increasing returns to scale