In 2013 the United States was considering imposing a tariff on solar panels imported from China. Which of the following groups would gain from this tariff?
I. U.S. consumers of solar panels
II. U.S. producers of solar panels
III. Chinese producers of solar panels

Question

Quizplus · Accepted Answer

II only. U.S. producers of solar panels would gain from the tariff because it would make imported solar panels from China more expensive, reducing competition and potentially increasing the market share for U.S. producers. U.S. consumers would face higher prices, and Chinese producers would lose competitiveness in the U.S. market.

In 2013 the United States Was Considering Imposing a Tariff