Question

Suppose you are the president of a sugar company based in southern Florida. Poor sugar harvests in the Caribbean Islands means your firm is struggling to meet demand and prices are rising. Cuba is having a bumper sugar harvest, but you cannot import from Cuba because of the Helms–Burton Act and the U.S. embargo on Cuba. A powerful U.S. senator from Florida serves on a committee in Washington, DC, that is reviewing the embargo. What arguments do you make to your senator to eliminate the embargo? Please provide a two or more substantial paragraph response.

Answer 1

Answer:Please refer to the Explanation section

Explanation:

Cuba seems to a comparative advantage in Producing Sugar, importing sugar will drive the price down because Cuba can supply sugar at a relatively lower price which will means people in Florida will purchase Sugar at lower price so a trade with with will be in the best interest of the People because the demand will met, meaning there will no shortages in the market and the price will be lower. these two point will increase consumer surplus.

We could also export some of the products we have comparative advantage on, which will not only increase revenue for local Producers but will also open opportunities for local producers to gain market share which will increase the demand for the local products. When the Demand for the Local Products increases, Local Producers will produce more and that will lead to an increase in the Gross Domestic Products (GDP) of the United States.

A trade will Cuba Trade Deal will benefit the country and the citizens of the country I therefore would like to  plead with the Senator to review the embargo on Cuba