Question 1Tariffs and quotas result in:A. a rise in the price that consumers in the importing country must pay.B. an over allocation of resources to relatively efficient industries.C. an increase in the foreign demand for domestically produced goods.D. an under allocation of resources to relatively inefficient industries.Question 2Who does NOT gain when a tariff is imposed?A. Domestic producers of the goodB. Domestic workers in the protected industryC. Domestic consumers of the goodD. Domestic suppliers in the protected industryQuestion 3Since 1900 international finance has been based on all of these EXCEPT:A. the gold standard.B. the silver standard.C. fixed exchange ratios.D. freely floating exchange rates.Question 4A U.S. importer of French wine would pay in:A. dollars.B. gold.C. euros.D. special drawing rights.
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