Effective Rate of Protection Given the following information for industry X in country A, and assuming that at least some of input Y is imported, that one unit of Y is required for each unit of X, and that country A is a "small" country: Final product X Input Y (only input to X) Free trade price $115 $61 Nominal tariff rate 10% 15% The effective rate of protection (ERP) for industry X is__________% (Keep your answer in percentage with 2 decimals. For example, If you got 15.26%, fill in 15.26 in the box below. Do NOT use 0.1526.)

Effective Rate of Protection Given the following information for industry X in country A, and assuming that at least some of input Y is imported, that one unit of Y is required for each unit of X, and that country A is a "small" country: Final product X Input Y (only input to X) Free trade price $115 $61 Nominal tariff rate 10% 15% The effective rate of protection (ERP) for industry X is__________% (Keep your answer in percentage with 2 decimals. For example, If you got 15.26%, fill in 15.26 in the box below. Do NOT use 0.1526.)

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter9: Application: International Trade

Section: Chapter Questions

Problem 1CQQ

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