If Slovenia is a large country in world trade,then if it imposes a large set of tariffs on many of its imports,this would
A) improve its terms of trade.
B) have no effect on its terms of trade.
C) harm its terms of trade.
D) decrease its marginal propensity to consume.
E) increase its exports.

Question

Quizplus · Accepted Answer

Imposing tariffs can improve a large country's terms of trade by raising the price of imports relative to exports, potentially benefiting the country's economy.

If Slovenia Is a Large Country in World Trade,then If