Statements about trade restrictions

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Reference no: EM13801614

Which of the following statements about trade restrictions such as tariffs and import quotas is/are generally true?

1. Trade restrictions usually benefit domestic producers because they increase the domestic price of the good.

2. Trade restrictions usually benefit domestic consumers because they increase the variety of goods available.

3. The benefits of trade restrictions to producers are typically significant and concentrated over a small group of people, making it fairly easy and profitable for producers to organize and exert political influence.

4. The harm from trade restrictions can be large overall, but small for individual consumers, making it difficult to organize and match the political influence of producers.

I only

I and II

I, II, and III

I, III, and IV

I, II, III, and IV

Reference no: EM13801614

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