16. Which of the following explanations about the impact of trade restrictions, such as tariffs and quotas, on the current account are true? (1 mark) a) In short-term, it restrict imports and improve balance of payment b) In long-term, it may cause trading partners to retaliate and reduce the exports. c) a and b d) None of the above explanations 21. Which of the following assumptions are main assumptions of foreign exchange market? (1 mark) a) Small number of buyers and sellers b) Free flow of information c) Absence of barriers to entry d) b and c