Which of the following policies would not improve the terms of trade from the point of view of import-competing industries in the United States?
A)Increasing the degree of free trade.
B)"Buy American" campaigns.
C)Placing tariffs on imports of foreign goods.
D)Restricting imports of foreign goods.

Question

Quizplus · Accepted Answer

Increasing the degree of free trade would likely result in lower tariffs and restrictions on imports, leading to a more competitive market and potentially lower prices for consumers. This would not necessarily benefit import-competing industries, as they would have to compete with a larger pool of foreign goods. B, C, and D all involve some form of protectionism, which would likely improve the terms of trade for import-competing industries.

Which of the Following Policies Would Not Improve the Terms