1. To protect American jobs, the US government may decide to cut US imports of bulldozers...

 

Transcribed Image Text:

1. To protect American jobs, the US government may decide to cut US imports of bulldozers by 60%. It could do so by either: -Imposing a tariff high enough to cut bulldozer imports by 60% -Persuading Komatsu and other foreign bulldozer makers to set up a voluntary export restraint arrangement to cut their exports of bulldozers to the US by 60%. a. Which of these two policies would be less damaging to the United States as a whole? Please explain. (6 points) b. Which of these two policies would be less damaging to foreign bulldozer manufacturers? Please explain. (6 points) c. Which of these two policies would be most beneficial for the United States' government? Please explain. (6 points) 1. To protect American jobs, the US government may decide to cut US imports of bulldozers by 60%. It could do so by either: -Imposing a tariff high enough to cut bulldozer imports by 60% -Persuading Komatsu and other foreign bulldozer makers to set up a voluntary export restraint arrangement to cut their exports of bulldozers to the US by 60%. a. Which of these two policies would be less damaging to the United States as a whole? Please explain. (6 points) b. Which of these two policies would be less damaging to foreign bulldozer manufacturers? Please explain. (6 points) c. Which of these two policies would be most beneficial for the United States' government? Please explain. (6 points)

Answer rating: 100% (QA)

a The US government imposing a tariff high enough to cut bulldozer imports by 60 would be less damag... View the full answer