Concerning a government's trade policy, all the following generally apply except ?
Correct answer: B. because domestic consumers outnumber domestic producer's policy markers usually enact Free-trade policies to satisfy the consumer majority:
- A. economic downturn and recession generally result in greater protectionism
- B. because domestic consumers outnumber domestic producer's policy markers usually enact Free-trade policies to satisfy the consumer majority:
- C. When domestic exporting companies are organized, policy tends to favor freer trade
- D. Policy tends to favor freer trade in countries whose imports are inputs into critical industries
Explanation
The claim in option b is the exception because consumers are often less organized politically than protected producers, so producer groups can secure protection despite consumers being more numerous. Recessions, organized exporters, and critical imported inputs can all influence policy toward the stated outcomes.
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