The deadweight losses of a tariff consist of the sum of the protective effect plus the consumption effect.

Name: The deadweight losses of a tariff consist of the sum of the protective effect plus the consumption effect.
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The deadweight losses of a tariff are typically composed of the protective effect, which is the loss of efficiency due to domestic producers producing more at a higher cost, and the consumption effect, which is the loss of consumer surplus as consumers buy less due to higher prices.

The Deadweight Losses of a Tariff Consist of the Sum