solution

 

Consider the five arguments for restricting trade.

a Imagine that you are a lobbyist for timber, an established industry suffering from low-priced foreign competition, and you are trying to get Parliament to pass trade restrictions. Which two or three of the five arguments do you think would be most persuasive to the average Parliamentarian? Explain your reasoning.

b Now assume you are an astute student of economics (hopefully not a hard assumption). Although all the arguments for restricting trade have their shortcomings, name the two or three arguments that seem to make the most economic sense to you. For each, describe the economic rationale for and against these arguments for trade restrictions.