#TariffsPause

Tariffs are taxes imposed on imported goods or services. They can:

1. Protect domestic industries by increasing import costs.

2. Generate revenue for governments.

3. Influence trade balances and economic policies.

Types include:

1. Ad valorem tariffs (percentage-based)

2. Specific tariffs (fixed amount per unit)

Tariffs can have both positive and negative effects, such as:

1. Supporting local businesses

2. Increasing consumer prices

3. Potential trade wars

Their impact varies depending on economic contexts and policy goals. Tariffs are a key tool in international trade, shaping economic relationships between countries. Global trade dynamics are affected.