Which of the following best describes the Tariff of 1816 in the context of U.S. economic history?

• A. A revenue tariff intended solely to raise money for the federal government without protecting domestic industries.
• B. A protective tariff designed to shield American industries from foreign competition after the War of 1812.
• C. A tax imposed to encourage the export of American agricultural products.
• D. A tariff that eliminated all duties on imported goods to promote free trade.

Answer: (B)

Verified step by step guidance

1. Step 1: Understand what a tariff is in economic terms — a tariff is a tax imposed on imported goods, which can serve different purposes such as raising government revenue or protecting domestic industries.
2. Step 2: Recognize the historical context of the Tariff of 1816 — it was enacted shortly after the War of 1812, a period when the U.S. economy was recovering and domestic industries were vulnerable to foreign competition.
3. Step 3: Identify the primary purpose of the Tariff of 1816 — it was designed to protect American manufacturers by making imported goods more expensive, thereby encouraging consumers to buy domestically produced products.
4. Step 4: Differentiate between types of tariffs — a revenue tariff focuses on raising money for the government, while a protective tariff aims to shield domestic industries; the Tariff of 1816 falls into the latter category.
5. Step 5: Conclude that the best description of the Tariff of 1816 is that it was a protective tariff designed to shield American industries from foreign competition after the War of 1812.