The United States imports cars from Japan. If the United States imposes a tariff on cars imported from Japan, American
A) consumers will lose and Japanese producers will gain.
B) tariff revenue will equal the loss inflicted on American consumers.
C) consumers will lose and American producers will gain.
D) car manufacturers will gain revenue equal to the revenue lost by Japanese car manufacturers.
Correct Answer:
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A)
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B) generate revenue
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