You are an employee of an U.S. firm that produces personal computers in Thailand and then...

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Economics

You are an employee of an U.S. firm that produces personalcomputers in Thailand and then exports them to the U.S. and othercountries for sale. The personal computers were originally producedin Thailand to take advantage of relatively low labor costs and askilled workforce. Other possible locations considered at that timewere Malaysia and Hong Kong. The US government decides to imposepunitive 100% ad valorem tariffs on imports of computers fromThailand to punish the country for administrative trade barriersthat restrict U.S. exports to Thailand. How do you think your firmshould respond? What does this tell you about the use of targetedtrade barriers?

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ANSWERHow a firm will respond which originally belongs to US which is imposing ad valorum tariff on Thailand in response to its administrative trade barriers which negatively impacting US export Tech companies can do little in preventing trade warsas it can be seen in case of trade war between US and Chinawhat it can See Answer

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