Which of the following is an example of how trade barriers can affect you as an American consumer?

• A. No change in the variety of products available in stores
• B. Guaranteed employment in export industries
• C. Unlimited access to all foreign products at lower prices
• D. Higher prices for imported goods due to tariffs

Answer: (D)

Verified step by step guidance

1. Understand what trade barriers are: Trade barriers include tariffs, quotas, and regulations that restrict or increase the cost of imported goods.
2. Recognize the effect of tariffs: Tariffs are taxes imposed on imported goods, which increase their prices in the domestic market.
3. Analyze the impact on consumers: When tariffs raise the cost of imported goods, consumers face higher prices for those products compared to a situation without tariffs.
4. Consider the variety of products: Trade barriers can reduce the availability or variety of foreign products, but the key direct effect on consumers is usually higher prices.
5. Conclude that higher prices for imported goods due to tariffs is a direct example of how trade barriers affect American consumers.