5. In 1995, President Clinton considered placing a 100-percent tariff on the import of Japanese luxury cars.
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5. In 1995, President Clinton considered placing a 100-percent tariff on the import of Japanese luxury cars. Discuss the economics and politics of such a policy. In particular, how would the policy affect the U.S. trade deficit? How would it affect the exchange rate? Who would be hurt by such a policy? Who would benefit?
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