Which of the Following Would Be Expected If the Tariff

question 95

Multiple Choice

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

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

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