Concerning a government’s trade policy all of the following generally apply except
Options:
| a. economic downturn and recession generally result in greater protectionism b. because domestic consumers outnumber domestic producers, policy makers usually enact Free-trade policies to satisfy the consumer majority c. when domestic exporting companies are organized, policy tends to favor freer trade d. policy tends to favor freer trade in countries whose imports are inputs into critical industries |
The Correct Answer Is:
b. because domestic consumers outnumber domestic producers, policy makers usually enact Free-trade policies to satisfy the consumer majority