Tariffs
12 important questions on Tariffs
The reasons why tariffs are imposed are because of:
· Increasing revenues.
The complexities of determining the ad valorem tariff percentage are:
· Fluctuation of import prices.
· Variations in the methods used to determine a commodity’s value.
FOB: free-on-board valuation:
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CIF: cost-insurance-freight valuation:
The nominal rate tariff:
FTZ: foreign – trade zone:
The difference between a bonded warehouse and foreign-trade zone is:
The difference between the amount that buyers would be willing and able to pay for a good and the actual amount they do pay.
Beggar – thy - neighbour policy:
A beggar – thy – neighbour policy could invite retaliation.
The protection – biased sector:
The free trade – biased sector:
A supply and demand view of protectionism:
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