I . "We are never going to strengthen the dollar, cure our balance of payments problem, lick our high unemployment and eliminate an ever-worsening inAation, as long as the United States sits idly by as a dumping ground for shoes, television sets, apparel, steel, automobiles, etc." (Spokesm a n for the United Shoe Workers of America) .

(a) Would excluding foreign goods from the U .S. market help to solve our problem of

"ever-worsening inflation"? Explain.

(b) If foreigners were willing to give (dump?} 100,000 pairs of shoes to American consumers, do you think it would be bad business to accept them?

(c) Would accepting the shoes worsen our unemployment and balance of payments problems? Explain.