If the United States imposes a tariff on $1 per imported shirt, the higher tariff will

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When a tariff is imposed, it makes the price of the imported good higher in the domestic market. This makes domestic producers more competitive, resulting in an increase in domestic production. At the same time, higher prices for imported shirts will decrease the demand for these shirts in the domestic market. Thus, the combination of decreased imports and higher domestic production is likely to benefit domestic producers. However, the higher prices of shirts will ultimately be passed on to U.S. consumers, leading to a decrease in demand for the good. Therefore, all of the above choices apply.

If the United States Imposes a Tariff on $1 Per