Comparing Developed and Developing Nations in Their Use of Tariffs,we

question 109

Multiple Choice

Comparing developed and developing nations in their use of tariffs,we see that

• A)developing nations almost never impose tariffs because they want their people to obtain goods and services at the lowest possible price.
• B)many developing nations' governments get a large portion of their revenue from tariffs.
• C)the developing nations' governments get very little revenue from tariffs.
• D)both governments get large amounts of revenue from tariffs.
• E)developed nations rely much more than developing nations on tariff revenue.

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Definitions:

Overall Economy

The comprehensive system of production, distribution, and consumption of goods and services within a country or region.

Business Cycles

The fluctuating levels of economic activity that an economy experiences over a period, marked by periods of expansion and contraction.

Contractions

Periods in the business cycle where there is a decline in economic activity, marked by reduced spending and increased unemployment.

Recession

A brief phase of economic downturn, signified by reduced commercial and industrial operations, often defined by a sequential fall in GDP over two quarters.