The term tariff, as used in international trade refers to ?
Correct answer: C. a tax on imports
- A. The price of goods when they leave the producing country
- B. a limit on the quantity of a good that can be imported into a country
- C. a tax on imports
- D. a government payment to encourage exports
Explanation
A tariff is a tax imposed on imported goods, usually raising their domestic price and protecting competing local producers. A quantity restriction is called an import quota, not a tariff.
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