Aprotective tariff is intended to protect the a) consumer from higher prices on foreign goods. eliminate b) consumer from higher priced goods produced within the country. c) manufacturer from higher prices on materials produced within the country. d) manufacturer or farmer from lower priced goods imported into the country.

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A protective tariff is

D) Manufacturer or farmer from lower priced goods imported into the country.

- I . A -

D) manufacturer or farmer from lower priced goods imported into the country.

Explanation:

An import tariff is an instrument by which the government aims to protect the domestic industry from foreign competition. This is used as a national industry development policy. For example, if a Chinese product can be sold cheaper than an American product, the US government may introduce a tariff to make the Chinese product more expensive upon entering the US. This is an artificial way of making the national product more competitive with the Chinese product. It is a counter-liberal policy, not considered good by most economists.

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