instead of textiles let us consider the case of computers Suppose by developing a domesticcomputer industry Cambodia can encourage entrepreneurship in the tech sector and hence thesocial marginal cost

As a trade policy advisor to Cambodia, I would advise implementing the following policies:

c. imposing small import tariff to encourage domestic production of computers d. offering producer subsidy to encourage domestic production of computers

By imposing a small import tariff, Cambodia can create a level playing field for domestic computer producers, making it more attractive for consumers to purchase locally produced computers. This would encourage the growth of the domestic computer industry and support entrepreneurship in the tech sector.

Additionally, offering a producer subsidy would further incentivize domestic production by reducing the costs for Cambodian computer manufacturers. This would help them compete with foreign companies and encourage the growth of the domestic computer industry.

Overall, these policies would help Cambodia develop its domestic computer industry, promote entrepreneurship in the tech sector, and potentially reduce the social marginal cost in this industry