A Level Economics (9708)•9708/11/O/N/18

Explanation
Identifying Protectionism-Changing Actions Steps:
- Define protectionism as policies restricting imports or subsidizing domestic industries to shield them from competition.
- Analyze "imposing an embargo": This bans imports, increasing protectionism by blocking foreign goods.
- Analyze "reducing subsidies to domestic producers": This cuts financial support, decreasing protectionism by exposing locals to more competition.
- Confirm A pairs an increasing action first with a decreasing one second, matching the question's structure.
Why A is correct:
- Embargo imposition restricts imports, increasing protectionism under trade barrier definitions; subsidy reduction eliminates domestic aid, decreasing it per economic policy standards.
Why the others are wrong:
- B: Both voluntary export agreements and lowering quota levels tighten import restrictions, so both increase protectionism.
- C: Option is incomplete and lacks specified actions for analysis.
- D: Removing quotas decreases protectionism first, while introducing embargoes increases it, reversing the expected order.
Final answer: A
Topic: Protectionism
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