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When an import tariff is imposed on an intermediate good, producers of this immediate good in the nation will ____________ while the producers that use the intermediate good as an input will ________. Get better off, get better off Get better off, get worse off Get worse off, get better off Get worse off, get worse off

User Jomarie
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Answer:

get better off

get worse off

Step-by-step explanation:

Import are goods or services produced in other countries that are brought into a country.

Import tariff is a form of tax imposed on imported goods. import tariff increases the price of import. the purpose of import is to discourage import

Intermediate good are goods used in the production of finished. An example of an intermediate good is raw materials

When an import tariff is imposed on an intermediate good, producers that use the intermediate goods would be worse off because the price of intermediate goods needed for production would increase as a result of the tariff. This would increase their cost of production and reduce their profit margins

While the producers of the intermediate good in the country would be better off because they would face less foreign competition. Also, they would benefit from the increased price of the intermediate good. This would increase their profit margins.

User MystikSpiral
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