An elimination of nontariff barriers on apples tends to increase apple imports, reduce profits of import-competing apple producers, and generate job losses for domestic apple workers.

Question

Quizplus · Accepted Answer

Eliminating nontariff barriers, such as quotas or import regulations, makes it easier and cheaper for foreign producers to sell their apples in the domestic market. This typically leads to an increase in apple imports as consumers have access to a wider variety of apples at potentially lower prices. Consequently, domestic apple producers face stiffer competition, which can reduce their market share and profits. This increased competition may also lead to job losses in the domestic apple industry as producers may need to cut costs, including labor, to remain competitive.

An Elimination of Nontariff Barriers on Apples Tends to Increase