A decrease in the tariff on foreign-produced automobiles would be most likely to harm
A) steel producers, who supply steel to the domestic automobile industry.
B) foreign producers of automobiles.
C) importers of automobiles.
D) domestic distributors of foreign automobiles.

Question

Quizplus · Accepted Answer

A decrease in tariffs on foreign-produced automobiles would likely lead to an increase in imports of these vehicles, reducing demand for domestically produced automobiles. This would harm steel producers who supply the domestic automobile industry, as domestic production may decrease.

A Decrease in the Tariff on Foreign-Produced Automobiles Would Be