Which of the Following Best Describes the History of Tariffs

question 19

Multiple Choice

Which of the following best describes the history of tariffs in the United States over the past 70 years?

• A) Tariffs were at their highest level in the 1970s and now average just over 10 percent.
• B) Tariffs have declined overall since the early 1930s and now average just over 10 percent.
• C) Tariffs reached a maximum in the early 1930s and now average less than 5 percent.
• D) Average tariff rates have not changed much since the early 1930s and are less than 5 percent.

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Definitions:

Price Discrimination

A pricing strategy where a seller charges different prices for the same product or service to different consumers, based on willingness to pay.

Monopoly

A market structure characterized by a single seller or producer dominating the entire market, lacking competition in the supply of its goods or services.

Willingness To Pay

The highest price a consumer is willing to pay for a product or service, indicating its worth to them.

Price Discrimination

A pricing strategy where identical or very similar goods or services are sold at different prices by the same provider in different markets or to different customers, based on differences in price sensitivity.