Which of these two policies would be less damaging

Assignment Help Business Law and Ethics

Reference no: EM131212503

To protect American jobs, the U.S. government may decide to cut U.S. imports of bulldozers by 60 percent. It could do so by either

(a) imposing a tariff high enough to cut bulldozer imports by 60 percent or

(b) persuading Komatsu and other foreign bulldozer makers to set up a VER arrangement to cut their exports of bulldozers to the United States by 60 percent. Which of these two policies would be less damaging to the United States? Which would be less damaging to the world as a whole? Explain.

Reference no: EM131212503

Questions Cloud

Potential of theory in managerial decision making : Develop your ability to: contribute fruitfully to a group task; assess an organisational issue or problem as objectively as possible; appreciate the potential of theory in managerial decision making and problem solving; apply theory to ‘real life'..

Import quota and a tariff effect on price : Under what conditions could an import quota and a tariff have exactly the same effect on price and bring the same gains and losses?

How many steady states are possible : Show in a diagram how the capital-labor ratio is determined and what its value is in a steady state.

Define product standards and domestic content requirements : Define product standards and domestic content requirements import policies and describe its likely effects on the wellbeing of the importing country as a whole.

Which of these two policies would be less damaging : Which of these two policies would be less damaging to the United States? Which would be less damaging to the world as a whole? Explain.

Does frere bros have any remedy : During the first year of the agreement, Joe entered into a contract to star in a film being made by Pretty Pictures. Does Frère Bros have any remedy?

Does this imply that the market is rational : If the market is rational, would the painting that previously sold in the "hot" market necessarily fetch a higher price at the auction? What biases that were discussed in class may cause the painting that previously sold in the "hot" market indeed..

Adopting a regulation that foreign apples can be imported : As a representative of the U.S. government, you are asked to defend the new import regulation before the WTO. What will you say?

Why is the opportunity cost of bus tickets unchanged : Suppose Alphonso's town raises the price of bus tickets from $0.50 to $1 and the price of burgers rises from $2 to $4. Why is the opportunity cost of bus tickets unchanged?

User Account

All Pages