Question

The United States may have a tariff on cotton products from China in order to. a. prevent Chinese manufacturers from losing profit because of low prices b. protect the business of the American cotton growers and manufacturers c. stop trade due to political disagreement on economic policy d. promote sales in the United States of cotton products from China.

Answer 1

Answer: b. protect the business of the American cotton growers and manufacturers.

The United States may have a tariff on cotton products from China in order to protect the business of the American cotton growers and manufacturers.

Explanation:

A tariff refers to tax imposed by the government on imported goods and services in order to protect and encourage the growth of local or domestic industries. It is a form of restriction in order to reduce the importation of specific types of goods and services. It aim at increasing the price of imported goods from other countries and make them less desirable.

Answer 2

The United States may have a tariff on cotton products from China in order to protect the business of the American cotton growers and manufacturers. The correct answer is B.