6. Tariffs as trade policy always involve economic costs to the trading countries; less trade, higher prices, and winners and losers, and so on. For import tariffs, the answer as t which country incurs the specific cost of the tariff fees is indisputable. In 2019 the then- president of the U.S. claimed about 108 times that China was paying for the import tariffs placed on some Chinese goods coming into the U.S. Given how import tariffs work, would Chinese exporters be paying for these tariffs or was it the U.S. importers? Chose yes it was true the Chinese were paying or no it was not true the Chinese were paying. Yes, here's how? (one - two sentences max) No, here's why (one-two sentences max)

6. Tariffs as trade policy always involve economic costs to the trading countries; less trade, higher prices, and winners and losers, and so on. For import tariffs, the answer as t which country incurs the specific cost of the tariff fees is indisputable. In 2019 the then- president of the U.S. claimed about 108 times that China was paying for the import tariffs placed on some Chinese goods coming into the U.S. Given how import tariffs work, would Chinese exporters be paying for these tariffs or was it the U.S. importers? Chose yes it was true the Chinese were paying or no it was not true the Chinese were paying. Yes, here's how? (one - two sentences max) No, here's why (one-two sentences max)

Microeconomics: Principles & Policy

14th Edition

ISBN:9781337794992

Author:William J. Baumol, Alan S. Blinder, John L. Solow

Publisher:William J. Baumol, Alan S. Blinder, John L. Solow

Chapter21: International Trade And Comparative Advantage

Section: Chapter Questions

Problem 6DQ

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Similar questions

Assume two countries, Thailand (T) and Japan (J), have one good: cameras. The demand (d) and supply (s) for cameras In Thailand and Japan is described by the following functions: QsT=-5+14P QsJ=-10+14P QdT=60-P QdJ=80-P P is the price measured in a common currency used in both countries, such as the Thai Baht. Compute the equilibrium price (P) and quantities in each country without trade. Now assume that free trade occurs. The free-trade price goes to 56.36 Baht. Who exports and Imports cameras and in what quantities?
If opening up to free trade would benefit a nation, then why do nations not just eliminate their trade barriers, and not bother with international trade negotiations?
How do trade barriers affect the average Income level in an economy?
In Japan, one worker can make 5 tons of rubber or 80 radios. In Malaysia, one worker can make 10 tons of rubber or 40 radios. Who has the absolute advantage in the production of rubber or radios? How can you tell? Calculate the opportunity cost of producing 80 additional radios in Japan and in Malaysia. (Your calculation may involve fractions, which is fine,) Which country has a comparative advantage in the production of radios? Calculate the opportunity cost of producing 10 additional tons of rubber in Japan and in Malaysia. Which country has a comparative advantage in producing rubber? In this example, does each country have an absolute advantage and a comparative advantage in the same good? In what product should Japan specialize? In what product should Malaysia specialize?
Are the gains from international trade more likely to be relatively more important to large or small countries?