Foreıgn Trade Deneme Sınavı Sorusu #1403461
Which of the following statements is true regarding tariffs?
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The only purpose of imposing tariffs is to generate revenues. |
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Setting a tariff rate on an imported product is beneficial to all parties. |
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Tariffs can be used to uplift the status of an imported product to that of a luxury product. |
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Tariffs are used to raise the price of imported products only. |
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World Trade Organization bans using tariffs as a method of saving home industries. |
A tariff surges the price of the imported products, sometimes uplifting its status to that of a luxury product. Therefore, a tariff could be imposed on certain imported products to make sure that only a few people have an enough supply for those imports. The more expensive an imported product becomes, the fewer people can afford to buy it. Thus, a tariff may be used to ensure or maintain the status of a luxury product.
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