Producers often use tariffs as a primary basis for setting prices on the goods and services they offer the public.

Question

Quizplus · Accepted Answer

Producers typically use a variety of factors, such as production costs, competition, and consumer demand, when determining prices for their goods and services. Tariffs, which are taxes on imported goods, may affect prices indirectly by influencing the cost of raw materials or components used in production, but are not typically the primary basis for setting prices.

Producers Often Use Tariffs as a Primary Basis for Setting