If the United States imposes a tariff on a good,then
A) domestic consumption of the good decreases.
B) foreign consumption of the good decreases.
C) foreign production of the good increases.
D) domestic production of the good decreases.
E) the government makes less revenue than it would have gained if it imposed a quota.

Question

Quizplus · Accepted Answer

A tariff increases the price of the imported good, leading to a decrease in domestic consumption as consumers may switch to cheaper alternatives or reduce consumption.

If the United States Imposes a Tariff on a Good,then