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If a Tariff Is Imposed by a Country That Is

Question 46

Multiple Choice

If a tariff is imposed by a country that is large enough to have market power in global markets,the domestic consumer will face an autarkic price than the world price for the product,and this world price will be by the tariff.


A) higher; increased
B) lower; unaffected
C) higher; reduced
D) lower; reduced
E) lower; increased

Correct Answer:

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