MCQs of Economics – Tariffs

A tax of 20 rupees per unit of imported cheese would be an example of a (an):

A tax of 15 percent per imported item would be an example of a (an):

Which trade policy results in the government levying both a specific tariff and an ad valorem tariff on imported goods?

For advanced countries such as the United States, tariffs on imported raw materials tend to be:

If we consider the impact on both consumers and producers, then protection of the steel industry is:

If I purchase a stereo from South Korea, I obtain the stereo and South Korea obtains the dollars But if I purchase a stereo produced in the Pakistan I obtain the stereo and the rupees remain in Pakistan, This line of reasoning is:

Ad valorem tariffs are collected as:

Specific tariffs are collected as:

Most tariffs have:

The effective rate of protection

A foreign-trade zone (FTZ) is:

A tariff that prohibits imports has only

If a nation fitting the criteria for the small nation model imposes a 10 percent tariff on imports of autos:

According to the _____ argument for protection, tariffs can shield new industries from import competition until they have grown strong and efficient enough to withstand the competition by foreign producers

____ represents the difference between what consumer have to pay for a product and what they are willing and able to pay

If a nation fitting the criteria for the large nation model imposes an import tariff

The difference between what consumers have to pay for a particular and what they are willing to pay is known as:

A tariff can _____ raise a country’s welfare

In developed countries, tariffs on raw materials tend to be:

Suppose there is no tariff on imported inputs and the ratio of the value of imported inputs the value of the final product is 0.5 If the nominal tariff rate on the final product is 10 percent, the effective tariff rate equals

With free trade the total quantity of imports would equal:

With free trade the total value of imports would equal:

With the tariff, the quantity of imports falls to:

With the tariff the government collects:

The deadweight cost of the tariff equals:

Domestic producers gain ____ because on the tariff.

A tariff of ____ would be prohibitive causing imports to fall to zero:

In today’s world, most countries impose tariffs:

If a small country imposes a tariff on an imported good, its terms of trade will:

If the world price of steel is $500 a ton a specific tariff $50 is equivalent to an ad valorem tariff of

If a country an imposes an import tariff, its welfare can improve if:

Suppose that Pakistan imposes a tariff on ballpoint pens of 25 rupees per pen plus 12 percent of the pen’s value, This is an example of a (an)

A tariff ____ increase a country overall welfare

Suppose that the nominal tariff rate on finished computers is 12 percent and that the weighted average of the nominal tariff rates on the inputs used in producing computers is 18 percent. Thus, the effective rate of protection for the computer industry must

Suppose that the offshore assembly provisions (OAP) of the United States are granted to finished computers that are imported and also produced domestically This policy will tend to:

Concerning a government’s trade policy, all of the following generally apply except:

If no imported inputs (hard-disk drive) go into the domestic production of a final product (desktop computer) then the:

Concerning import tariffs of the United States empirical studies tend to conclude that these tariffs are:

The national security argument for protection is more likely to be valid when: