Figure: Foreign Trade with a Tariff Reference: Ref 9-2

question 77

Multiple Choice

Figure: Foreign Trade with a Tariff Reference: Ref 9-2 (Figure: Foreign Trade with a Tariff) Refer to the figure. A $1 tariff generates increased domestic production by:

• A) $40 million units.
• B) $90 million units.
• C) $140 million units.
• D) $180 million units.

---

Definitions:

Government

The governing body of a nation, state, or community, charged with regulating and administering public policy and affairs.

Essential Resource

A necessary input or resource that is fundamental for the functioning and sustainability of an economy or ecosystem.

United States

A country located in North America, known for its large economy and diverse population, characterized by significant cultural and geographic variety.

General Motors

A global corporation based in Detroit, United States, that specializes in designing, producing, marketing, and selling vehicles and their components.