Business, 22.02.2021 19:30, shafferakr6

Suppose that Colombia imports cars from Australia. The free market price is $9,200.00 per car. If the tariff on imports in Colombia is initially 38%, Colombians pay per car. One of the accomplishments of the Uruguay Round that took place between 1986 and 1993 was significant across-the-board tariff cuts for industrial countries, as well as many developing countries. Suppose that as a result of the Uruguay Round, Colombia reduces its import tariffs to 19%. Assuming the price of cars is still $9,200.00 per car, consumers now pay the price of per car.
Based on the calculations and the scenarios presented, the Uruguay Round most likely in Colombia and in Australia.

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Suppose that Colombia imports cars from Australia. The free market price is $9,200.00 per car. If th...