Suppose a Government Wants to Raise Money to

Multiple Choice

Suppose a government wants to raise money to
Compensate the losers from trade.In a specific­factors
Model, the government may be able to tax:

A) the factor specific to the importing industry.
B) the factor specific to the exporting industry.
C) the factor that is mobile between industries.
D) the factor specific to the exporting industry and the factor that is mobile between industries.