Question

Please help me answer theses practice questions

QUESTION 2 Which of the following can a country implement to protect local industries (e.g. bicycles) according to the video on the deceptive promise of free trade? Border walls local training programs to strengthen local industries protectionist policies such as tarrifs creating a high minimum wage locally governments can't do anything QUESTION 3 Which of the following European countries has a trade surpluse with the US as well as most other European countries (See Video on Deceptive Promise of Free Trade)? England O Greece Ireland Spain Germany QUESTION 4 Which of the following actions is prudent if a region's economy undergoes the type of slow down experienced by the US (and the world, during the great recession in 2007 an increasing of income taxes O a increase in the Fed's interest rate An open market transaction by the Fed to buy government bonds from banks O an increase in the reserve ratio requirement contractionary fiscal policy QUESTION 5 Which of the following institutions would most likely help resolve trade disputes between two countries: The WTO The World Bank The IMF The WHO The UC QUESTION

Answer 1

2 - Option C

Protectionist policy such as tariff

This policy will protect the domestic industries from the foreign competition. The other options will increase the productivity but not protect. This tariff will be imposed by the government.

3 - Option E

Germany

US has a trade deficit with Germany among the European countries. The other countries do not have trade surplus with US.

4 - Option C

The open market operation by fed to buy the bonds from the banks.

This will increase the money supply and control the slow down. The other options will worsen the condition.

5 - Option A

WTO

This organisation has been established specifically for solving the trade disputes in between the countries. The other countries are not formed for this purpose.