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If the United States Threatens to Impose a Tariff on Colombian

Question 211

Multiple Choice

If the United States threatens to impose a tariff on Colombian coffee if Colombia does not remove agricultural subsidies, the United States will be


A) better off regardless of how Colombia responds.
B) better off if Colombia removes the subsidies, and will be no worse off if it doesn't.
C) worse off if Colombia doesn't remove the subsidies in response to the threat.
D) worse off regardless of how Colombia responds.

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