If protective import-restricting tariffs are imposed by a country, in the majority of cases that nation's consumers end up
A) paying a higher price for the good than they otherwise would.
B) paying a lower price for the good than they otherwise would.
C) consuming more of the good than they otherwise would.
D) having a higher standard of living than they otherwise would.

Question

Quizplus · Accepted Answer

When protective import-restricting tariffs are imposed, it makes it more expensive for foreign producers to import their goods into the country, effectively raising the price of that good for domestic consumers. Therefore, they would end up paying a higher price for the good than they otherwise would.

If Protective Import-Restricting Tariffs Are Imposed by a Country, in the Majority