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Which of the following will result from the imposition of an import tariff on a commodity?

 a. The supply of the commodity will increase. 

 b. The price of the commodity will increase. 

 c. Domestic production of the commodity will increase. 

 d. All of the above will result from an import tariff. 

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Question added by Emad Mohammed said abdalla , ERP & IT Software, operation general manager . , AL DOHA Company
Date Posted: 2015/07/27
Ramesh Sehgal
by Ramesh Sehgal , Chief Financial Officer , How United Services WLL

Answer is b

Due to increased tariff:

Supply will decrease as there will be lower demand

Price will increase due to higher cost

Domestic production may and may not increase depending on capacity of buyer country to produce domestically

All answers cannot be correct.

So answer is B

 

 

Shakeel Ahmad
by Shakeel Ahmad , Group Finance Manager , AL Yarmok

The price of the commodity will increase 

Emad Mohammed said abdalla
by Emad Mohammed said abdalla , ERP & IT Software, operation general manager . , AL DOHA Company

  1. The correct answer was: a. The supply of the commodity will increase.

Yaqoub Alomar
by Yaqoub Alomar , Civil Engineer , Al-Zubeir municipality

Option  A

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Mohammed Haseeb Musba
by Mohammed Haseeb Musba , Management Accountant / Senior Financial Analyst , International Food Services

B and C.

Due to Impose of Tariff, Price will Increase and Due to Price increase Domestic Production will increase.

Ahmed Mohamed Ayesh Sarkhi
by Ahmed Mohamed Ayesh Sarkhi , Shared Services Supervisor , Saudi Musheera Co. Ltd.

My Answer IS Option " A "     .

Gayasuddin Mohammed
by Gayasuddin Mohammed , Advocate , Practicing Law before High Court at Hyderabad

********I think the answer is b. The price of the commodity will increase. ***************

Ismael Hamad
by Ismael Hamad , Trainer , ANTONOIL DMCC , Lukoil project, WQ2

My choice is..............a.........

khaled elkholy
by khaled elkholy , HR MANAGER , misk for import & export

agree with all experts.............................................................

Salvatore Augello
by Salvatore Augello , owner , A.S. Trade & Consult

that's A _______________________________

Khaled Anwar
by Khaled Anwar , Senior Sales Engineer , "Automotive company''

the answer is : Option ( A )