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Most economists agree that international trade restrictions tend to have a negative effect on the economy and usually do more harm than good. However, sometimes
Most economists agree that international trade restrictions tend to have a negative effect on the economy and usually do more harm than good. However, sometimes temporary short-term trade restrictions may be seen as a viable option to achieve which of the following goals: To exercise political influence To create favorable conditions for infant industries To limit global supply of a valuable resource exported by the country, thereby driving the price of that resource up o ensure uninterrupted supply of essential products or resources that may be excessively exported following rapid changes in currency exchange rate or other disruptive economic or political events such as the collapse of the USSR or rapid currency All of the above have been mentioned in class as defensible reasons to use short-term trade restrictions. Companies often establish largely independent, self-contained units in each national market under which of these strategies? Retrenchment Global Multinational Stability O Growth
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