Intro:

Define Protectionism

Define Tariffs

Content Paragraphs:

Explain how tariffs work & diagram

Explain the diagram

State the advantages of using tariffs

(increase prices of imports and competitiveness of domestic businesses)

State the disadvantages of using tariffs

(retaliation, inelastic PED for imports,

cost push inflations)

Evaluation:

It depends on the PED

State the advantage and problems

Intro:

Define free trade

Content Paragraphs:

Advantage and disadvantage of protectionism

Advantage and disadvantage of free trade:

Efficient allocation of resources due to specialisation and comparative

advantage.

Higher output produced.

explain dumping .

Suggest policies to be used

Supply side policy for long term

Monetary policy

Fiscal policy

Evaluation:

It depends

Summarise the content paragraphs