In Effect, Tariffs on Imports Are

question 124

Multiple Choice

In effect, tariffs on imports are

• A) special taxes on domestic producers.
• B) subsidies to domestic consumers.
• C) subsidies to foreign producers.
• D) subsidies for domestic producers.

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Definitions:

Markowitz

Refers to Harry Markowitz, an economist who developed modern portfolio theory, emphasizing the importance of diversification and the trade-off between risk and return.

Index Model

In finance, it is a statistical model used to describe the performance of an asset or portfolio relative to a particular benchmark or market index.

Covariance

A measure of how two securities move together, used to assess the degree to which they co-vary.

Assets GM and GE

Refers to the tangible and intangible items owned by General Motors (GM) and General Electric (GE) that are used in their operations to generate revenue.