Understanding the Impact of New Tariff Policies

What is the primary goal of the new tariff policy signed by President Trump?

• To reduce government spending

• To increase domestic production

• To improve international relations

• To lower consumer prices

How does the flat 10% tax on imports affect consumer goods?

• It has no effect on prices

• It increases the cost of imported goods

• It only affects luxury items

• It makes imported goods cheaper

What are reciprocal tariffs?

• Tariffs that are temporary

• Tariffs that are only applied to luxury items

• Tariffs that match the rates other countries charge on US goods

• Tariffs that are applied equally to all countries

Which sector is likely to see the highest price increase due to the new tariffs?

• Education

• Healthcare

• Automotive

• Technology

What was the immediate effect of the tariff announcement on the stock market?

• The stock market was unaffected

• The stock market declined

• The stock market remained stable

• The stock market surged

How might the new tariffs affect everyday shopping?

• Prices for imported goods will decrease

• Prices for imported goods will increase

• Imported goods will become unavailable

• There will be no change in prices

What is a tariff?

• A discount on foreign goods

• A subsidy for domestic products

• A tax on exports

• A tax on imports

Why might tariffs not lead to a reduction in the trade deficit?

• Because they increase domestic production

• Because they might decrease imports too much

• Because they reduce government revenue

• Because they are temporary

What is one potential downside of companies moving operations back to the US?

• Increased unemployment

• Decreased product quality

• Lower wages for workers

• Higher product costs due to higher wages

What should consumers consider doing in response to the new tariffs?

• Ignore the changes

• Buy only luxury items

• Track spending and consider buying American-made products

• Stop buying imported goods