Economics 9708 · AS & A Level · Protectionism

Protectionism — practice question

(a)[2]

Calculate the world price of rice in January 2002 approximately.

(b)[4]

With reference to Fig. 1, analyse why the price of rice moved differently from November 2007 to April 2008, and then after May 2008.

(c)[4]

Explain two possible economic reasons behind India’s introduction of export restrictions.

(d)
  • How could an effective minimum export price have improved India’s position? [2]
  • Why may India have switched from using a minimum export price to an export ban? [2]
(e)[6]

Discuss the possible harmful effects of India’s protectionist trade policy for both its own economy and the rest of the world.

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