If a Tariff Is Imposed by a Country That Is

question 27

Multiple Choice

If a tariff is imposed by a country that is large enough to have market power in global markets,the domestic consumer will face an autarkic price ________ than the world price for the product,and this world price will be ________ by the tariff.

• A)higher; reduced
• B)higher; increased
• C)lower; increased
• D)lower; unaffected
• E)lower; reduced

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Definitions:

Critical Value

A threshold value that the test statistic must exceed in order to reject the null hypothesis in a statistical test.

Independent Variables

Variables in a study or model that are expected to influence or determine the outcome of the dependent variable(s), manipulated by the experimenter.

Degrees Of Freedom

The number of independent pieces of information in a dataset used in the calculation of a statistic, typically influencing the shape of various distributions.

Observations

Data points or elements collected during an experiment or study which represent individual pieces of information about the phenomena being studied.