A tariff on watches which are imported by Atlantis ________ the price of watches in Atlantis and ________.
A)lowers;imports of watches increase
B)raises;watch production in Atlantis increases
C)raises;watch production in Atlantis decreases
D)lowers;watch production in Atlantis increases
E)lowers;watch production in Atlantis decreases

Question

Quizplus · Accepted Answer

A tariff on imported watches would raise the price of these watches in Atlantis, making domestically produced watches more competitive. This could lead to an increase in watch production within Atlantis as domestic manufacturers respond to the higher demand for their products.

A Tariff on Watches Which Are Imported by Atlantis ________