Question

Suppose the United States decides to impose a tariff on all wood products coming into the nation.

1. Using a supply and demand market graph, show and explain how the tariff will affect the market for wood products in the U.S.
2. Who are the winners and losers as a result of the tariff on wood products? Consider foreign and domestic producers, the U.S. government, and consumers in your answer.
3. Explain one of the arguments for the imposition of the tariff on wood products.
4. Name two (2) negative costs that will result from the tariff.

Answer 1

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e) The yeason could be because of the - lobbying bag of domestic producers to increase their supply d) The lees negative casts. are reposented by the A OGI and A FID Colouped in Blue Colous These occurs because of losing out of Consumers