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As Globalization Tends to Increase the Proportion of Imported Inputs

Question 22

Multiple Choice

As globalization tends to increase the proportion of imported inputs relative to domestically supplied components


A) the nominal tariff automatically increases.
B) the rate of (effective) protection automatically decreases.
C) the nominal tariff automatically decreases.
D) the rate of (effective) protection automatically increases.
E) the amount of tariffs levied increases.

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