Governments use tariffs to give domestic competitors an advantage in the marketplace by making foreign competitors' goods more expensive.

Question

Quizplus · Accepted Answer

Tariffs are taxes imposed by governments on imported goods. By increasing the price of foreign goods, governments can make domestically-produced goods more competitive in the marketplace. This can provide protection for domestic industries but can also lead to higher prices for consumers.

Governments Use Tariffs to Give Domestic Competitors an Advantage in the Marketplace