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Q.

Tax on imports is an example of a ____.


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Detailed Solution

Tax on imports is an example of a Trade barrier.
To protect the free flow of international exchange of goods and services into the country, government-imposed trade barriers on imports and exports. It is also known as an indirect tax. It comprises taxes on both imports and exports of international trade. The government uses trade restrictions to control foreign trade and decide what kinds of products and how much should come into the country. Trade barriers on imports will be implied, such as import duties, a tax on imports, etc. It will help the government control the data and the exchanges happening in the country.
 
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