Economics 0455 · IGCSE · Globalisation, free trade and protection

Globalisation, free trade and protection — practice question

Russia sells wheat overseas. In $2010$, a poor harvest caused the Russian government to stop wheat exports, so that adequate supplies would remain for use within the country. What was the most likely result of the government’s decision?

  • Aprices were fixed by the wheat producers
  • Bthe amount produced was determined by the government
  • Cthe price of wheat abroad fell
  • Dthere was a redistribution of domestic production

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