5
QuizMultiple Choice

Agriculture and the Economy

Question 5 • Career Explorations II

Egypt has recently raised taxes on imported goods to force its citizens to buy locally made products. Which of the following organizations or programs would prohibit this act if Egypt had previously signed the treaty?

Answer
A
North American Free Trade Agreement
B
Agricultural Adjustment Act
C
Conservation Reserve Program
D
General Agreement on Tariffs and Trade

Explanation

The General Agreement on Tariffs and Trade (GATT) sets rules to reduce trade barriers, including tariffs on imported goods. If Egypt had signed the treaty, raising import taxes to steer citizens toward domestic products could violate those rules. NAFTA is a regional trade agreement involving North American countries, while the Agricultural Adjustment Act and Conservation Reserve Program are U.S. agricultural programs.

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