Economics 13th Edition by James Gwartney, Richard Stroup, Russell Sobel, David Macpherson

Exercise 3

Can both of the following statements be true? Why or why not?
a. "Tariffs and import quotas promote economic inefficiency and reduce the real income of a nation. Economic analysis suggests that nations can gain by eliminating trade restrictions."
b. "Economic analysis suggests that there is good reason to expect that trade restrictions will exist in the real world."