A tariff is a tax imposed on imported goods. This tax may be a fixed amount per unit of goods, or may be based on the value of the goods. Tariffs are often used as a means of protecting domestic industries from foreign competition, as they make imported goods more expensive and therefore less attractive to consumers.

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What Is a Tariff

Question 11

Multiple Choice

What is a tariff?

A) a restriction on exports
B) a unit tax placed on a product
C) a ceiling on the amount of a good or service that can be exported
D) a ceiling on the amount of a good or service that can be imported

Correct Answer: