Asked by Adrian Barrera on Jun 09, 2024
Verified
Trade restrictions result in all of the following except one.Which is the exception?
A) Higher prices
B) Fewer choices
C) Improved quality
D) Misallocation of resources
E) Reduced competition
Misallocation
Inefficient distribution or use of resources, often resulting in reduced economic efficiency or productivity.
Improved Quality
Enhancements or upgrades to the standards of products, services, or processes to exceed previous benchmarks.
- Comprehend the effects of trade barriers on economic systems.
Verified Answer
SH
Salar HaiderJun 11, 2024
Final Answer :
C
Explanation :
Trade restrictions typically lead to higher prices, fewer choices, misallocation of resources, and reduced competition. However, they do not lead to improved quality. In fact, by reducing competition and limiting access to imports with different levels of quality, trade restrictions can actually have a negative impact on quality.
Learning Objectives
- Comprehend the effects of trade barriers on economic systems.
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