Question

The best strategy for the United States is to​ ______ and the best strategy for Canada is to​ ______. A. impose a tariff only if Canada ​exports; export only if the United States does not impose a tariff B. stop all trade with Canada​; stop all trade with the United States C. impose a tariff only if Canada does not​ export; export only if the United States imposes a tariff D. not impose a​ tariff; not export E. impose a​ tariff; export

Answer 1

The correct answer is the option A: impose a tariff only if Canada exports; export only if the United States does not impose a tariff.

Step-by-step explanation:

On one hand, the best strategy for the United States will be to impose a tariff to Canada only in the case that this last one exports, that meas that if Canada does exports then it will be wise to impose a tariff to collect an amount of money from that action where the goods of Canada will be entering the greater economy of the world.

On the other hand, the best strategy that Canada could take will be to exports only if the United States does not impose a tariff in order to avoid paying any amount of money to the country at the time of trying to enter their goods to U.S' economy.