Question

In: Economics

For each condition listed below, indicate whether it will increase or decrease the likely success of...

For each condition listed below, indicate whether it will increase or decrease the likely success of a trade embargo. Briefly explain. (2 points each)

i. The group of countries imposing the embargo account for a small share of the targeted country’s trade.

ii. The targeted country is a major importer of goods from the imposing countries.

Solutions

Expert Solution

Trade embargo is a ban imposed by a country or group of countries on trade of some or all goods and services with target country. This may be politically motivated step.

i. If the trade of embargo imposing countries with target country is very small then the likely success of trade embargo decreases. This is because the needs of target country is fulfilled by other countries and embargo imposing countries have no adverse impact on the business of the target country.

ii. If the trade of embargo imposing countries with target country is very large (target country is large importer) then the likely success of trade embargo increases. This is because the target country is dependent on embargo imposing countries for fulfillment of its needs to a large extant. This increases the bargaining power of embargo imposing countries. Thus, embargo imposing countries can achieve for which they imposed trade embargo.

Rahul Sunny answered 1 month ago
Next > < Previous

Related Solutions

Indicate with each event whether the event is likely to increase, decrease or have no change...
Indicate with each event whether the event is likely to increase, decrease or have no change on current profits. (10 pts.) Event Change on Current Profits- Increase, Decrease or No Change A company that normally takes long-term contract revenues into income over 10 years decides to take it over 5 years. A company that has been paying A/P consistently in 30 days decides to push the A/P to 60 days. A company normally writes off bad inventory annually decides to...
For each of the factors listed below indicate whether the factor, independently, is likely to cause...
For each of the factors listed below indicate whether the factor, independently, is likely to cause a particular income producing property to trade for a lower or higher CAP rate compared with an average property. For this question, no explanation is needed. Indicating “higher”, “lower” or “irrelevant” for factors a through g is sufficient. Lower volatility in rent prices and occupancy rates. Worse location High inflation environment High risk premium environment Market general higher than normal expected NOI growth Lower...
In each of the following scenarios, indicate whether the unemployment rate will increase or decrease. a....
In each of the following scenarios, indicate whether the unemployment rate will increase or decrease. a. The government increases income tax rates   (Click to select)   increase   decrease   uncertain b. The government repeals a law that made it difficult to fire workers   (Click to select)   increase   decrease   uncertain c. There is an increase in the percentage of workers who are unionized   (Click to select)   increase   decrease   uncertain d. The number of weeks workers are entitled to unemployment benefits falls   (Click to...
In each of the following scenarios, indicate whether the unemployment rate will increase or decrease. a....
In each of the following scenarios, indicate whether the unemployment rate will increase or decrease. a. The government increases income tax rates  (Click to select)  increase  decrease  uncertain b. The government repeals a law that made it difficult to fire workers  (Click to select)  increase  decrease  uncertain c. There is an increase in the percentage of workers who are unionized  (Click to select)  increase  decrease  uncertain d. The number of weeks workers are entitled to unemployment benefits falls  (Click to select)  decrease  increase  uncertain e. More firms begin to pay efficiency wages  (Click to select)  increase  decrease  uncertain f. The...
Listed below are several transactions that typically produce either an increase or a decrease in cash. Indicate
Listed below are several transactions that typically produce either an increase or a decrease in cash. Indicate by letter whether the cash effect of each transaction is reported on a statement of cash flows as an operating (O), investing (I), or financing (F) activity. 
1- In the space below each of the following, indicate the effect [increase (+), decrease (−)]...
1- In the space below each of the following, indicate the effect [increase (+), decrease (−)] on equilibrium price (P) and equilibrium quantity (Q) of each of these changes in demand and/or supply.                                                                                                                  P                                 Q (a) Increase in demand, supply constant             ________               ________ (b) Increase in supply, demand constant             ________               ________ (c)   Decrease in demand, supply constant           ________               ________ (d) Decrease in supply, demand constant           ________               ________
Yield to Maturity (YTM). Indicate whether each of the following actions will increase or decrease a...
Yield to Maturity (YTM). Indicate whether each of the following actions will increase or decrease a bond YTM: (5 points) 1a. The bond’s price increases. b. The bond is downgraded by the rating agencies. c. A change in the bankruptcy code makes it more difficult for the bondholders to receive payments in the event the firm declares bankruptcy. d. The economy seems to be shifting from a boom to a recession. e. Investors learn that the bonds are subordinated to...
For each of the following events, indicate the accounts affected, whether they would increase or decrease,...
For each of the following events, indicate the accounts affected, whether they would increase or decrease, and the amount by which they would change. Also demonstrate that the accounting equation will remain in balance after these effects are reported. If the event should not to be recorded as a transaction, state so. A. Borrowed $7,000,000 cash, signing a promissory note. B. Bought a factory for $800,000, paying $200,000 in cash and signing a promissory note for $600,000. C. Rented equipment...
11. Consider whether each of the following events is likely to increase or decrease real GDP....
11. Consider whether each of the following events is likely to increase or decrease real GDP. In each case, do you think the well-being of the average person in society most likely changes in the same direction as real GDP? Why or why not? a. A hurricane in Florida forces Disney World to shut down for a month. b. The discovery of a new, easy-to-grow strain of wheat increases farm harvests. c. Increased hostility between unions and management sparks a...
For each item listed below, indicate whether it involves a: a. permanent difference.
For each item listed below, indicate whether it involves a:a. permanent difference.b. temporary difference that will result in future deductible amounts (giving rise to deferred tax assets).c. temporary difference that will result in future taxable amounts (giving rise to deferred tax liabilities).____ 1. Rent is collected in advance from a tenant. Rent is taxable when received.____ 2. Warranty costs are accrued at the time of sale for accounting purposes, but are not deductible until paid for income tax purposes.____ 3....
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT