Question

Paul Krugman argues that although strategic trade policy looks unappealing in theory, in practice it is most likely to be workable. True False

Answer 1

Answer: False

Explanation:

The statement that "Paul Krugman argues that although strategic trade policy looks unappealing in theory, in practice it is most likely to be workable" is false.

According to Paul Krugman, a strategic trade policy will be captured by the special-interest groups that are within the economy and this will bring about it's distortion and therefore it's unlikely to be workable.