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When the Government Imposes a Tariff on Imported Goods, It

Question 75

Multiple Choice

When the government imposes a tariff on imported goods, it _____________ prices for domestic consumers, ________________ consumers' surplus and _________________ the producers' surplus for domestic producers.


A) raises; lowers; raises
B) lowers; raises; raises
C) lowers; raises; lowers
D) raises; lowers; lowers

Correct Answer:

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