Final answer:
A steel tariff increases the price of imported goods to protect domestic industries, resulting in higher consumer prices but also generating government revenue.
Step-by-step explanation:
The student has asked about the effect of a steel tariff on domestic pricing. Under the Bush steel tariff, the domestic price of steel would have been the international market's price of $250 plus the imposed tariff of $75, totaling $325 per unit. This tariff had significant implications for various industries and consumers. A tariff is a tax imposed on imported goods; its objective is to protect domestic industries by making imported goods more expensive compared to domestic products.
However, imposing tariffs can lead to a net loss for the economy, as it often results in increased prices for consumers, as was the case with the tire tariff implemented in 2009. Tariffs also generate revenue for the government but can be controversial because of their impact on both industry and consumer prices.