• 2022-06-04
    If the U.S.(a large country) imposes a tariff on its imported good, this will tend to()
    A: have no effect on terms of trade.
    B: improve the terms of trade of all countries.
    C: improve the terms of trade of the S.
    D: cause a deterioration of S. terms of trade.
  • C

    内容

    • 0

      The terms of trade effect of a tariff refers to the fact that a small country can benefit by levying a tariff.

    • 1

      If Slovenia were a large country in world trade, then if it instituted a large set of subsidies for its exports, this must() A: cause retaliation on the part of its trade partners. B: harm Slovenia’s real income. C: improve Slovenia’s real income. D: improve the real income of its trade partners.

    • 2

      Given free trade, small nations tend to benefitfrom trade compared with large nations because . A: A.Less; Small nations enjoy terms of trade lying near the opportunity costs of themselves B: B.Less; Small nations enjoy terms of trade lying near the opportunity costs of their large trading partners C: More; Small nations enjoy terms of trade lying near the opportunity costs of themselves D: D.More; Small nations enjoy terms of trade lying near the opportunity costs of their large trading partners

    • 3

      A rise in the price of imports or a fall in the price of exports will A: improve the terms of trade B: worsen the terms of trade C: Expand the production possibilities curve D: Contract the production possibilities curve

    • 4

      Assume that the United States and Canada engage in trade. If the international terms of trade coincides with the Canadian cost ratio, the United States realizes all of the gains from trade with Canada.