00:01
Social regulations are policy tools designed to improve health, safety, and the environment, and can be necessary when markets fail to account for these issues themselves.
00:09
Social regulations impact the behavior of firms across a variety of industries, including steel, energy, chemicals, and automobiles.
00:17
In achieving their policy objectives of improved societal outcomes, these regulations can carry implications for international trade.
00:24
Which of the following is a trade -impacting result of the 1975 u .s.
00:29
Energy conservation policy corporate average fuel economy standards? so, our correct options would be the second one.
00:45
The second one states, due to relatively strict standards placed on the domestic auto manufacturing industry, automakers began importing foreign vehicles at a higher rate in order to comply with the new regulations.
00:58
So, this makes sense because the cafe standards are regulations that specify average fuel economy, or efficiency, that vehicle manufacturers have to achieve across their fleet of vehicles sold in a particular market.
01:57
Then we have c.
01:58
Large u .s...