Tariffs

By: Courtney, Yoseline, Jordan

Defintion:

A tax of duty to be paid on a particular class of imports or exports.

Examples

Has Tariffs: non-specific dairy porducts= 20%

tariff on most imported auto parts=25%


Non-Tariffs: imported licenses, product classification

Purpose

- Used to restrict trade- increase price on imported goods

- To protect domestic jobs, infant industries, and consumers

Ex: consumers buying less expensive foreign goods which may result in workers losing jobs

What's the money used for?

The money for a tariff goes to the government and whatever specific good or service industry that is being used or bought.

Ex: There is a 5% tariff on an imported car into Australia so the money goes to the government in general or to the automotive industry.