The causes and consequences of countries adopting protectionist policies
Governments sometimes block or restrict imports to protect domestic industries. These protectionist policies create winners and losers both at home and abroad.
Real World
After Brexit, the UK introduced tariffs on some EU imports; this protected British lamb farmers from cheaper EU competition but raised food prices for UK consumers.
Exam Focus
For 'evaluate' questions, always include both winners (domestic producers) and losers (consumers, foreign exporters) to access top-band marks.
Price Elasticity of Demand
PED = % change in quantity demanded ÷ % change in price
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