2. Lecture 8 - Global Economy
ECON 360 International Economics
3. 1. If Canada imposes a tariff on U.S.
dairy products, who is happy and
who is unhappy?
4. Subsidies
Reduces taxes
Builds roads, bridges and airports
Pays for schooling of employees
Has government contacts to develop
Navy to protect shipments
Pay for police and court system
9. How does government (politicians
and bureaucrats) know which
industry needs protecting?
Those who don’t take risks
should never be involved in
making decisions.
10. All firms with potential
should be able to secure
financing