Identify the trade regulation concept described in each scenario.

1. Country A and country B want to develop

their respective export markets. Both

countries have highly developed agricultural,

industrial, and service sectors. The countries

decide to initially lower trade barriers and

eventually remove them completely.

2. Country A has an agrarian economy with an

emerging industrial sector. To allow domestic

industries to grow, country A applies quotas

on all industrial products except those that

are used as resources.

3. Country A passes an economic policy that

will indirectly give its own companies an

advantage over country B's companies.

Country B alleges that the policy violates

the countries' trade agreement and

imposes retaliatory tariffs.

A.) trade war

B.) free trade

C.) protectionism

Question

Social Studies

Desirae Key

29 June, 05:38

Identify the trade regulation concept described in each scenario.

1. Country A and country B want to develop

their respective export markets. Both

countries have highly developed agricultural,

industrial, and service sectors. The countries

decide to initially lower trade barriers and

eventually remove them completely.

2. Country A has an agrarian economy with an

emerging industrial sector. To allow domestic

industries to grow, country A applies quotas

on all industrial products except those that

are used as resources.

3. Country A passes an economic policy that

will indirectly give its own companies an

advantage over country B's companies.

Country B alleges that the policy violates

the countries' trade agreement and

imposes retaliatory tariffs.

A.) trade war

B.) free trade

C.) protectionism

+3

Answers (1)

Know the Answer?

Mariam Duke · Answer 1

1. Free trade, which is the capitalist economy model, in an increasingly interdependent economy, calls for the raising of all trade regulations.

2. protectionism policies (often used by communist nations like china countries protect some parts of the economies than others)

3. trade wars like those taking place between the usa and China