Tariffs Tend to Reduce the Volume of Imports by

question 80

Multiple Choice

Tariffs tend to reduce the volume of imports by

• A)Setting maximum allowable import limits.
• B)Placing severe quality restrictions on imported goods.
• C)Making them more expensive to domestic consumers.

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Definitions:

Capital Loss

A financial loss that occurs when the selling price of an investment is less than its purchase price.

Gift Tax

A federal tax on the transfer of property by gift from one individual to another, where the giver receives nothing or less than full value in return.

Assumed Mortgage

When a property buyer takes over the seller's existing mortgage, it is referred to as an assumed mortgage.

Recognized Gain

The portion of a gain that is subject to tax, as realized from the sale or exchange of a capital asset beyond the original purchase price.