An increase in the price of imported goods will:
A) increase the volume of imports.
B) decrease the volume of imports.
C) shift the production possibility frontier inward.
D) shift the production possibility frontier outward.

Question

Quizplus · Accepted Answer

An increase in the price of imported goods will make them more expensive for consumers in the importing country, which will likely lead to a decrease in demand for those goods and a decrease in the volume of imports.

An Increase in the Price of Imported Goods Will