A variable levy confers benefit on the domestic producer,such as with the EU variable levy on grain.

Question

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A variable levy, also known as a sliding scale tariff, is a tariff that changes based on the fluctuating prices of a product. In the case of the EU variable levy on grain, the levy increases when global grain prices are low, which provides a price floor for domestic producers and protects them from selling their goods at lower prices. Therefore, a variable levy confers benefits on the domestic producer.

A Variable Levy Confers Benefit on the Domestic Producer,such as with the EU