The world as a whole is better off, if the trading partners of a nation respond by raising their trade barriers when this country raises its own trade barriers.

Question

Quizplus · Accepted Answer

This is commonly known as the "beggar-thy-neighbor" policy which can lead to a trade war and harm both parties involved. It decreases the overall efficiency and productivity of international trade. A more cooperative and mutually beneficial approach would be to negotiate fair trade agreements that benefit all parties involved.

The World as a Whole Is Better Off, If the Trading