Which of the following is an expected effect of a tariff or a nontariff barrier (NTB) on a product?
A)A decrease in the domestic production of the product
B)An increase in the employment of labor and other resources used in the import-competing industry in the tariff imposing country
C)An increase in domestic consumption of the imported product
D)A decrease in government revenue

Question

Quizplus · Accepted Answer

Tariffs and non-tariff barriers (NTBs) are designed to protect domestic industries from foreign competition. By making imported goods more expensive, they encourage consumers to buy domestically produced items instead. This can lead to an increase in demand for domestic goods, which may result in higher employment in the industries that compete with imports, as these industries may need to hire more workers to meet the increased demand.

Which of the Following Is an Expected Effect of a Tariff