Question

Why does the federal government impose tariffs?

Answer 1

Tariffs are an instrument of protection for national industry and have the function of reducing the effectiveness of imported products in competition with domestic products. It is a common instrument, possibly ideological, and practiced by several countries, but it receives a lot of criticism from free trade advocates, since it affects the efficiency of markets that is stimulated by competition.

Answer 2

In general, the federal government imposes tariffs to protect domestic jobs. If an import is taxed, employers are more likely to hire workers to produce that product at home.