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Protectionist policies implemented in a small open economy with a trade deficit have the effect of ______ the trade deficit and ______ the quantity of imports and exports.

1 Answer

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Answer:

B) not changing; decreasing

Step-by-step explanation:

These are options for the questions

A) decreasing; decreasing

B) not changing; decreasing

C) decreasing; not changing

D) not changing; not changing

Protectionism policy provide adequate civil and liberty right to local industries against their foreign competitors.

It should be noted that they help to strike balance between those imported goods and those goods manufactured domestically, this could be through tarriff and subsidy measures

Therefore, Protectionist policies implemented in a small open economy with a trade deficit have the effect of not changing the trade deficit and decreasing the quantity of imports and exports.

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