The Effect of an Export Tariff on a Large Country

question 18

Multiple Choice

The effect of an export tariff on a large country is to ________ the terms of trade.

• A) always improve
• B) sometimes improve
• C) leave unchanged
• D) sometimes worsen
• E) always worsen

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Definitions:

Stock Dividend

A dividend payment made by a company to its shareholders in the form of additional shares rather than a cash payout.

Total Assets

The sum of all assets owned by a company, including both current and non-current assets.

Par Value

The nominal or face value of a stock or bond, representing the minimum amount set by the issuing company.

State Government

The organization through which political authority is exercised at the state level, governing over a specific geographical area.