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Suppose that American firms claim that protectionism in Canada is on the rise as the Canadian govern

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Suppose that American firms claim that protectionism in Canada is on the rise as the Canadian govern

Suppose that American firms claim that protectionism in Canada is on the rise as the Canadian government attempts to protect its infant industries with a "Buy Canadian" provision. This policy, similar to the original "Buy American" provision in the 2009 U.S. stimulus bill, is likely to cause
A) exporting countries to retaliate by placing trade barriers on Canadian imports.
B) Canadian manufacturers to become more efficient.
C) Canadian companies to pay lower prices for protected products.
D) most countries to reduce their own trade barriers to be able to better compete with Canadian imports at home.

Textbook

Essentials of Economics

Edition: 4^th

Authors: Hubbard, O'Brien

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