Imposing a tariff on the import of a good _____ the price paid by the consumers and _____ the quantity consumed compared to free trade.

Question

Quizplus · Accepted Answer

Imposing a tariff on imports makes the imported goods more expensive, which increases the price paid by consumers and typically reduces the quantity consumed as consumers turn to either domestic alternatives or reduce consumption overall due to higher prices.

Imposing a Tariff on the Import of a Good _____