. You are an employee of a U.S. firm that produces personal computers in
Thailand and then exports them to the United States and other countries
for sale. The personal computers were originally produced in Thailand
to take advantage of relatively low labor costs and a skilled workforce.
Other possible locations considered at the time were Malaysia and Hong
Kong. The U.S. government decides to impose punitive 100 percent ad
valorem tariffs on imports of computers from Thailand to punish the
country for administrative trade barriers that restrict U.S. exports to
Thailand. How should your firm respond? What does this tell you about
the use of targeted trade barriers?