Final answer:
Tariffs are formal governmental measures, not informal methods, to tax imported goods and protect domestic industries, as well as being used for other purposes like humanitarian reasons. They serve as trade barriers and negotiations by organizations such as the WTO aim to reduce these for the benefits of global trade.
Step-by-step explanation:
The statement that tariffs are informal methods used to restrict access to international markets is false. Tariffs are, in fact, formal governmental policies implemented to tax imported goods with the intent to protect domestic industries, raise revenue, and sometimes safeguard against practices like dumping. They can serve several purposes such as protecting sensitive industries within a country, addressing humanitarian concerns, or preserving cultural interests. Moreover, tariffs have been commonly used as political tools to protect national economic sectors from competitive foreign imports, thus making domestic products more competitive.
The World Trade Organization (WTO) plays a pivotal role in negotiating reductions in trade barriers, including tariffs, to promote free trade among nations. Reducing barriers to international trade can result in significant benefits, especially for smaller countries, as it grants them access to larger markets and allows nations to take advantage of the efficiencies generated through comparative advantage.