Question

Liberals believe protectionism : A) hurts the country which adopts a protectionist policy against others B) Hurts the countries that are the object of the protectionist policies. C) Hurts both the country that adopts protectionism and its trading partners. D) None of the above

Answer 1

Option C that it hurts both the country that adopts it and trading partners

Protectionism means a economic policy which aims at restricting imports of a country to protect domestic producersfrom foreign competition.

But it affects the country by

1 reduces trade of the country

2 affects consumers of the country because high priced import goods

3 producers in export industry of a country

Affects the trading partners by

Less trade globally, high prices of goods in the international market, reduce globalization etc

Free trade in other hand means deregulation of trade tht is free trade