A country called Criton is running a referendum on its international trade policy. After careful calculation, economists of the nation determine that the optimal average tariff should be 5%. As always, voters have different preferences. Eighteen percent of the country are in the service sector, who are not exposed to any international competition, but benefit from cheaper foreign goods from lower tariffs, so for them the ideal tariff is 0. Twenty-five percent of the country works in the manufacturing sector, who believe the tariff should be moderate at 20%. The remaining people believe the country should be independent and produce everything own their own, so they want a 1000% tariff. According to the median voter theorem, what is most likely to be the elected outcome? Briefly explain why

A country called Criton is running a referendum on its international trade policy. After careful calculation, economists of the nation determine that the optimal average tariff should be 5%. As always, voters have different preferences. Eighteen percent of the country are in the service sector, who are not exposed to any international competition, but benefit from cheaper foreign goods from lower tariffs, so for them the ideal tariff is 0. Twenty-five percent of the country works in the manufacturing sector, who believe the tariff should be moderate at 20%. The remaining people believe the country should be independent and produce everything own their own, so they want a 1000% tariff. According to the median voter theorem, what is most likely to be the elected outcome? Briefly explain why

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Figure A Q Figure B Figure C Price (dollars per unit) 15- Price (dollars per unit) 15 Price (dollars per unit) 15- 14- 13- 12- 11- 10- MC MC 14- 14- 13- 12- 11- 10- „MC ATC 13- 12- 11- 10- ATC ATC MR MR MR 9- 9- 9- 8- 8- 8- 7- 7- 6- 90 100 100 100 1i0 Quantity (units) 90 110 90 110 15 Qua Quantity (units) Quantity (units) Consider a perfectly competitive firm in a short-run equilibrium. Figure shows a firm in bad times because the firm produces units and makes a(n) O A. A; 100; economic loss O B. B; 90; economic profit O C. A; 110; economic loss O D. C; 100; economic loss O E. C; 100; normal profit
Please no written by hand and no emage
Exercise: 01 Issue a promissory note: ⑴Amount ￡3,026.00 ⑵Date and place of issue 8/August/2009，Guangzhou, China ⑶Tenor At 90 days after date ⑷Maker Guangdong Imp. & Exp. Co., Guangzhou ⑸Payee Chemicals Import & Export Company London ⑴Drawer Thames Enterprises Ltd., London ⑵Drawee The National Westminster Bank Ltd., London ⑶Payee Philips Hong Kong ⑷Date and place of issue 07/01/2001，London ⑸Amount GBP79,014 Exercise: 02 Issue a check:
please fill out a-n
Businesses that offer repayment plans for purchases are required by law to disclose the interest rate. But that dosent mean they let you go out of there way to let you know what it is. you have to read all the paper work. Find the interest rate for the follwing purchase. For a 312 square- foot family room, you choose carpert that costs $1.44 per square foot. The tax rate is 6.1% and youre offered 24 payemnts of 27.61. Round to one decimal, if necessary.