A Tariff Is Imposed on a Good

question 63

Multiple Choice

A tariff is imposed on a good. The tariff will ________ quantity supplied, ________ quantity demanded, and ________ the price of the good in the home country.

• A) increase; decrease; increase
• B) increase; leave unchanged; leave unchanged
• C) increase; increase; increase
• D) increase; decrease; decrease

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Definitions:

Warranty

is a guarantee provided by a seller or manufacturer regarding the condition, quality, or performance of a product.

Surprise

An unexpected or astonishing event, fact, or thing that takes someone unawares.

Ambiguous

Describes statements or terms that are unclear or have multiple interpretations, often leading to confusion or misunderstanding.

Buyer

An individual or entity that purchases goods or services for personal use, resale, or production purposes.