Assume that a sock-importing country is determined to expand domestic production of socks. From the point of view of the countries currently exporting socks into that country, which method would be most favorable out of a VER, a production subsidy, or a tariff on imported socks?

Rank the three in order of preference, and explain why.

Answer rating: 100% (QA)

A production subsidy would be the most favorable out of the three options for countries currentl... View the full answer