When a Tariff on Imported Inputs Exceeds the Tariff on the Finished

question 47

Multiple Choice

When a tariff on imported inputs exceeds the tariff on the finished good,

• A) the nominal tariff rate on the finished product would tend to overstate its protective effect.
• B) the nominal tariff rate on the finished product would tend to understate it's protective effect.
• C) it is impossible to determine the protective effect of a tariff on the finished product.
• D) the tariff on the finished good would have significant protective effects.

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Definitions:

PIPEDA

The Personal Information Protection and Electronic Documents Act, a Canadian law governing the collection, use, and disclosure of personal information in the private sector.

Jurisdictions

The official power to make legal decisions and judgments, typically defined by geographic area or specific legal matters.

Canada

A country in North America known for its vast landscapes, multicultural society, and strong legal framework for business and human rights.

Vicarious Liability

A legal principle where a party is held responsible for the actions or omissions of another person, typically in employer-employee relationships.