Which of the Following Would Be Expected If the Tariff

question 155

Multiple Choice

Which of the following would be expected if the tariff on foreign-produced automobiles were increased?

• A) The domestic price of automobiles would fall.
• B) The supply of foreign automobiles to the domestic market would decline, causing auto prices to rise.
• C) The number of unemployed workers in the domestic automobile industry would rise.
• D) The demand for foreign-produced automobiles would increase, causing the price of automobiles to increase in other nations.

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Definitions:

Visas

Official documents or endorsements that allow a person to enter or leave a country, typically issued by the country’s government.

Refugee Crisis

A situation where large numbers of people are displaced and seek asylum due to conflict, persecution, or environmental disasters.

World Financial Center

A term that may refer to a major financial district that houses large banks, stock exchanges, and financial institutions.

Partial State-Owned Enterprise

A company where the government owns a significant share but not complete ownership, allowing for the coexistence of private and state investment.