When a government limits imports via tariffs and quotas,and subsidizes exports in order to maximize exports and minimize imports,the country is following:

Question

Quizplus · Accepted Answer

The strategy of limiting imports, promoting exports through subsidies, and protecting domestic industries is typical of the mercantilist philosophy, which believes that a country's wealth is measured by its accumulation of gold and silver through a positive balance of trade. This approach is seen as outdated and largely discredited by modern economists, who advocate for free trade and specialization based on comparative advantage.

When a Government Limits Imports Via Tariffs and Quotas,and Subsidizes