A tariff is
A)a law restricting the quantity of a good that may be imported
B)a tax imposed on imports
C)a penalty imposed on consumers for supplying goods to a market
D)the terms of trade between two nations
E)the ratio of opportunity costs in two nations

Question

Quizplus · Accepted Answer

A tariff is a tax imposed on imports. It is designed to make foreign goods more expensive and less competitive with domestic goods, and in some cases serves to protect domestic industry from foreign competition.

A Tariff Is