In: Economics
1. Selling a product below the cost of production is known as predatory pricing, so this what China is being accused of.
So the correct answer is option a, predatory pricing.
2. All the options in this question can helps UAE protect its local economy.
Local content requirements force firms to use locally manufactured inputs in production.
While AD valorem tax on imports can make imports expensive which will help reduce imports.
And finally currency control can help make exports cheaper so that country's exports increases.
So the correct option is option B, all.
3. Transit tariff is imposed on goods when it passes through some country's border enroute to another country for export.
Similarly here egyptian government applying a transit tariff on the exports of UAE enroute to Algeria.
So the correct option is option a, transit tariff.
4. In 2008 there was a global rice crisis, so to protect the people of India against these higher prices of rice the government of India applied export tariff on rice to protect Indian consumers.
So the correct answer is option b, to protect Indian consumers.
5. To develop sectors in which UAE has comparative advantage, in order to do that UAE must adpot a strategy that its infant industry. Since local companies which are inefficient can't be the source of comparative advantage, similarly the import industry can't have comparative advantage. Because a country only imports something when it can't produce the same good more efficiently.
So the correct answer is option C, protect its infant industry.