alleryStart learning →Why do most economists reject tariffs as a cure for unemployment?
AJoblessness is hard to measure well
BThey shift jobs abroad and invite retaliation
CThey cut the money supply directly at home
DThey always lower prices for all consumers
Answer & Solution
Correct answer: B. They shift jobs abroad and invite retaliation
Tariffs do not raise overall output and may provoke retaliatory measures, so fiscal and monetary policy suits better.
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