Net losses that occur in an economy as the result of tariffs are known as:
A) deadweight costs
B) tariff barriers
C) import quotas
D) the material,labor,and distribution gains associated with producing a product

Question

Quizplus · Accepted Answer

Deadweight costs refer to the inefficiencies and net losses in welfare that occur when tariffs are imposed, as they lead to higher prices and reduced consumption and production.

Net Losses That Occur in an Economy as the Result