If a Nation Imposes a Tariff on Imports, the Portion

question 155

Multiple Choice

If a nation imposes a tariff on imports, the portion of the tax paid by citizens depends upon

• A)elasticity of demand.
• B)elasticity of supply.
• C)how important the good is.
• D)income elasticity.
• E)cross elasticity of demand with domestic products.

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Definitions:

Money Center Banks

Large financial institutions that offer a wide array of services and operate at national or international levels, typically located in major financial centers.

Conventional Banks

Financial institutions that offer a wide range of banking services without following any specific religious or ethical restrictions.

Consumers

Individuals or groups who purchase goods and services for personal use.

Clearing House Interbank Payments System

An electronic payment system operated by major banks for the purpose of settling transactions among themselves.