How do tariffs affect international trade?

Can you explain how tariffs impact international trade?

Sure! Tariffs are taxes imposed on imported goods, which can raise prices and affect trade volumes.

What are some examples of how tariffs have changed trade relationships?

For instance, the U.S.-China trade war saw increased tariffs, leading to reduced imports and exports between the two countries.

Do tariffs benefit domestic industries?

Yes, tariffs can protect domestic industries by making imported goods more expensive, encouraging consumers to buy local.

Are there any negative effects of tariffs?

Absolutely, tariffs can lead to trade wars, higher prices for consumers, and strained international relations.