3. Winners and losers from tariff reductions Suppose that Brazil imports semiconductors from the United States. The free market price is $22.00 per semiconductor. If the tariff on imports in Brazil is initially 28%, Brazilians pay $ per semiconductor. One of the accomplishments of the Uruguay Round that took place between 1986 and 1993 was significant across-the-board tariff cuts for industrial countries, as well as many developing countries. Suppose that as a result of the Uruguay Round, Brazil reduces its import tariffs to 14%. Assuming the price of semiconductors is still $22.00 per semiconductor, consumers now pay the price of S per semiconductor. Based on the calculations and the scenarios presented, the Uruguay Round most likely in the United States. in Brazil and

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3. Winners and losers from tariff reductions
Suppose that Brazil imports semiconductors from the United States. The free market price is $22.00 per semiconductor.
If the tariff on imports in Brazil is initially 28%, Brazilians pay $
per semiconductor,
One of the accomplishments of the Uruguay Round that took place between 1986 and 1993 was significant across-the-board tariff cuts for industrial
countries, as well as many developing countries. Suppose that as a result of the Uruguay Round, Brazil reduces its import tariffs to 14%.
Assuming the price of semiconductors is still $22.00 per semiconductor, consumers now pay the price of S
Based on the calculations and the scenarios presented, the Uruguay Round most likely
in the United States.
per semiconductor.
in Brazil and
Transcribed Image Text:3. Winners and losers from tariff reductions Suppose that Brazil imports semiconductors from the United States. The free market price is $22.00 per semiconductor. If the tariff on imports in Brazil is initially 28%, Brazilians pay $ per semiconductor, One of the accomplishments of the Uruguay Round that took place between 1986 and 1993 was significant across-the-board tariff cuts for industrial countries, as well as many developing countries. Suppose that as a result of the Uruguay Round, Brazil reduces its import tariffs to 14%. Assuming the price of semiconductors is still $22.00 per semiconductor, consumers now pay the price of S Based on the calculations and the scenarios presented, the Uruguay Round most likely in the United States. per semiconductor. in Brazil and
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