Economics 9708 · AS & A Level · Protectionism

Protectionism — practice question

The diagram indicates that imposing a tariff increases a good’s world price from $10 to $14. What impact did this have on total expenditure on the good?

  • AIt fell by $20 million
  • BIt fell by $160 million
  • CIt rose by $220 million
  • DIt rose by $560 million

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