When a tariff is imposed, the gap between the domestic price and the price received in the exporting country is captured by
A)consumers in the importing country.
B)the domestic producers of the good.
C)the government of the importing country.
D)foreign exporters.
E)the domestic importers of the good.

Question

Quizplus · Accepted Answer

When a tariff is imposed, the government of the importing country collects the tariff revenue, which is the gap between the domestic price and the price received in the exporting country.

When a Tariff Is Imposed, the Gap Between the Domestic