CHAP30 Globalization and the Wealth of America Import Restrictions Paper

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Question 4 chapters 30

Until recently, American cars exported to Japan had driver controls on the left side (as in the United States), even though Japanese cars sold in Japan have driver controls on the right side, because the Japanese (like the British) drive on the left side of the road. Su pose the Japanese tried to sell their cars in the United States with the driver controls on the right side. What impact would this likely have on their sales in this country? Do you think the unwillingness of American carmakers to put the driver controls on the correct side for exports to Japan had any effect on their sales of cars in that country?

Question 1 chapter 31

Who gains and who loses from import restrictions?

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