6. Tariffs and quotas restrict trade and reduce the ability of domestic producers to specialize in those
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6. Tariffs and quotas restrict trade and reduce the ability of domestic producers to specialize in those areas for which their comparative advan tage is greatest. Essentially, they are subsidies to producers (and workers) in protected industries at the expense of (a)
consumers and
(b) producers (and workers) in export industries.
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Related Book For
Economics Private And Public Choice
ISBN: 9780123110404
2nd Edition
Authors: James D Gwartney; Richard Stroup; A H Studenmund
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