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What is one of the main economic effects of a tariff increase?

Reduced productivity
Higher prices for consumers
Increased wages for workers
Decreased profits for domestic industries

2 Answers

7 votes
I believe it would be the second choice.
User Geoffrey De Smet
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3 votes

Answer:

Higher prices for consumers.

Step-by-step explanation:

Tariff increases mean that importation of foreign goods and services becomes more costly, discouraging open competition and promotion of competitiveness of domestic industries and sectors. And consequently, it leads to the consequence that consumer must choose local goods and services of lesser quality and greater prices than those imported.

User ONYX
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