When the small home nation imposes a tariff of $10, the domestic price:

Name: When the small home nation imposes a tariff of $10, the domestic price:
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When a small home nation imposes a tariff of $10, the domestic price rises by exactly $10, assuming the tariff is fully passed on to consumers. This is because the tariff directly increases the cost of imported goods by the amount of the tariff, leading to an equivalent increase in the domestic price of those goods.

When the Small Home Nation Imposes a Tariff of $10