Which of the following is a reason a country might put a tariff on imports?
a. To form an agency relationship
b. To increase its exports
c. To protect domestic companies
d. To create free trade
The following reason a country might put a tariff on import is C.) TO PROTECT DOMESTIC COMPANIES.
This reason is not only for tariff but also for quota imposed on imports.
Tariff is a tax imposed on goods imported from other countries. Quota is a numerical limit of how much or how many an imported good can be imported in the country.
