Question 1
Suppose Canada entered into a free-trade arrangement with China and, as a result, Canadian imports from India were replaced with imports from China. This would be an example of
◦ trade expansion.
◦ trade diversion.
◦ dumping.
◦ trade creation.
◦ countervailing trade.
Question 2
Continued tariff protection for industries that have already attained all the possible economies of scale will likely
◦ maintain high prices to consumers of the products produced in the protected industries.
◦ redistribute income away from the factors used in the protected industries.
◦ reduce the stream of tariff revenue to the government.
◦ reduce employment in the protected industries.
◦ result in lower domestic prices for the products they produce.
Instructions for Completing the CMS-1500 (02/12) Claim Form Continued
Checking the freezing and boiling protection levels of the coolant using a hydrometer.
Operator using personal protection equipment.