A tariff is a tax on ________ goods that is designed to ________
a. exported; protect domestic industries
b. exported; hurt foreign industries
c. imported; make domestic consumers pay more
d. imported; protect domestic industries
e. domestic; discourage imports
D
You might also like to view...
Answer the following statements true (T) or false (F)
1) The expected value of an outcome takes into consideration the associated risk. 2) The greater the risk associated with an outcome and the more risk averse the decision maker, the more likely a high insurance premium will be paid. 3) Because increased costs reduce the return on investment, shareholders may prefer managers make decisions based on the risk and not on the expected profit. 4) Placing all of your investment funds into one stock is an example of diversification. 5) Plaintiffs can be risk averse.
If the Fed's monetary policy causes a substantial decrease in interest rates, what is the most likely impact on velocity?
a. It will decrease. b. It will increase. c. It will remain constant. d. Velocity is unrelated to interest rates.
Congress is debating whether to raise taxes by $100 billion or decrease spending by $100 billion in order to eliminate a budget deficit. Which action will have the larger effect on equilibrium GDP?
a. the increase in taxes b. the decrease in spending c. the effects will be equal d. not possible to determine without knowing the multiplier
A tax on all forms of income will
a. lower the effective rate of interest on savings. b. have no effect on savings. c. enhance social welfare because the benefits will outweigh the costs. d. enhance the incentives to save.