A tariff is a tax imposed on imports. This tax is used to make it more expensive for foreign goods to enter a country's market, which can protect domestic producers and industries from foreign competition. Tariffs can also be used as a source of revenue for the government.

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A Tariff Is

Question 41

Multiple Choice

A tariff is

A) a subsidy granted to imports.
B) any non-subsidy used to increase trade.
C) any non-tax action used to restrict trade.
D) a tax imposed on exports.
E) a tax imposed on imports.

Correct Answer: