9
QuizMultiple Choice

Global Economic Policy

Question 9 • * HSA 26-27 US Government

How would a nation most likely try to limit inexpensive cars from being imported?

Answer
A
by imposing sanctions against the country where the cars are made
B
by imposing tariffs on the cars at the border
C
by entering into a free trade agreement such as NAFTA
D
by withholding aid from the country where the cars are made

Explanation

A tariff is a tax on imported goods, collected at the border. Adding a tariff raises the price of inexpensive imported cars, making them less competitive with cars made domestically. A free trade agreement such as NAFTA generally reduces trade barriers rather than adding them.

AI-written and checked against the verified answer.

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