The Republic of Eastern Africa imposes a duty on imported goods to pay for government services.What is this BEST described as?

Question

Quizplus · Accepted Answer

A revenue tariff is a tax imposed on imported goods to raise money for the government, which is the case in the scenario given. It is not a protective tariff, which aims to protect domestic industries by making foreign goods more expensive, nor an import quota, which limits the quantity of imported goods allowed. A subsidy is a payment by the government to encourage production or consumption of a certain good, which is not applicable in this case.

The Republic of Eastern Africa Imposes a Duty on Imported