What is a tariff? Explain and give an example.

It’s a tax on foreign goods that is implemented in order to encourage and promote the buying of domestic goods. For example, let’s say a shirt made in America costs $10. But now, China starts making shirts, they ship it to the USA, and it only costs $8. Logically, people will buy the Chinese shirt. But that will ruin the American businesses who made their shirts. So, the government puts a tariff on the China shirts which now makes them $15, so now Americans will want to buy the American shirts

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