Import Tariffs (Analysis and Background - 2020 Update)
- A-Level, IB
- AQA, Edexcel, OCR, IB, Eduqas, WJEC
Last updated 19 Oct 2020
This is an updated video on the basic economics of import tariffs.
Tariffs are a tax on imported goods and services which nearly always lead to higher prices for consumers. Governments typically impose tariffs when they are seeking to raise revenue and protect specific sectors of their economy. Tariff wars can erupt when trade disputes flair up and tariffs are used as a protectionist response. Tariffs represent a movement away from the principles and practice of free trade across borders.