Critical Thinking Read the Management Focus on, “NAFTA’s Tomato Wars,” available in your e-book (page no. 620), and answer the following questions: Assignment Question(s): (Marks: 5) 1. Was the establishment of a minimum floor price for tomatoes c

Critical Thinking

Read the Management Focus on, “NAFTA’s Tomato Wars,” available in your e-book (page no. 620), and answer the following questions:

Assignment Question(s):(Marks: 5)

• Was the establishment of a minimum floor price for tomatoes consistent with the free trade principles enshrined in the NAFTA agreement?
• Who benefits from the importation of tomatoes grown in Mexico? Who suffers? Give arguments in support of your answer.
• Do you think that Mexican producers were dumping tomatoes in the United States? Give reasons.
• What do you think will be the impact of the new higher floor price? Who benefits from the higher floor price? Who suffers? Give logics.
• What do you think is the optimal government policy response here? Explain your answer.