Question

based on what you know about the hawley-smoot tariff act, how can tariffs be useful? choose two correct answers. tariffs can increase demand for domestically produced goods. tariffs can increase consumer credit options. tariffs can give domestically produced goods an advantage in the market. tariffs can decrease taxes on domestic goods. tariffs can increase international trade.

Explanation:

To determine the correct answers, we analyze the impact of tariffs:

1. Tariffs are taxes on imported goods. By making imported goods more expensive, they can increase the demand for domestically produced goods (as consumers may switch to domestic alternatives).
2. Tariffs also give domestically produced goods an advantage in the market because imported goods become relatively more costly, making domestic products more competitive.

The other options are incorrect:

• Tariffs do not increase consumer credit options (consumer credit is related to lending, not tariffs).
• Tariffs increase, not decrease, taxes on imported goods (and indirectly affect domestic goods' competitiveness, not directly decrease taxes on domestic goods).
• Tariffs typically decrease international trade (by making imports more expensive, reducing trade volume).

Answer:

• Tariffs can increase demand for domestically produced goods.
• Tariffs can give domestically produced goods an advantage in the market.