Which of the following laws is considered a trade barrier? Choose one answer.
A.
A company that produces furniture is shut down
B.
federal aid given to unemployed workers from a factory
C.
paying money to an industry to encourage it to make goods in the country
D.
consumers deciding to purchase only locally made goods
D. consumers deciding to purchase only locally made goods
The trade barrier among the given options is paying money to an industry to encourage it to make goods in the country, which corresponds to answer choice C.
The correct answer is:
C. Paying money to an industry to encourage it to make goods in the country
This is considered a trade barrier because it involves providing financial incentives to domestic industries in order to promote domestic production and deter imports. This can create an uneven playing field for foreign companies and make it more difficult for them to compete in the market.