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Read attached case and answer discussion questions. Remember to write at least 200 words.
Discussion Questions
1. Do potential pandemics, such as a coronavirus, threaten the supply chain in the dairy industry to such an extent that Saudi Arabia is justified in having a domestic dairy industry rather than relying on imported dairy products?
2. Pandemics aside, explain the economic logic of purchasing dairy imports rather than local production. Use the factor endowments and comparative advantage theories.
3. Use utilitarian theory to decide on the ethical propriety of selling alfalfa for export from an area with a scarcity of water in southern California to a country where a dairy industry using exotic species makes little economic sense.
4. Use sustainability theory to determine if self-sufficiency is a wise strategy when coronaviruses threaten global supply chains for dairy products.

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