Economics · International Trade

Consider the following statements regarding tariff incidence and trade dynamics in the context of global tariff actions: I. When a country imposes high tariffs on imported goods, the domestic consumers may end up bearing most of the tariff burden if foreign exporters face elastic alternative markets and rigid supply chains. II. In international trade theory, a tariff imposed by a large economy is generally expected to be fully absorbed by foreign exporters because they must reduce export prices to maintain access to a large and profitable market. How many of the above statements are correct?