Title: 
Headings: 

Content: Advocates also point to the customs receipts of tariffs, which in November were approximately $7 billion. Opponents of tariffs say there are several problems with such measures. First, tariffs increase the price of many goods, which is a definite drawback for consumers. Tariffs can also affect trade agreements between countries. For example, if one country imparts a tariff on a specific import from another country, that country could then respond with a tariff of its own on another good. This, in turn, could cost consumers. While tariffs can protect domestic industries, they can also have a negative effect on these industries. For example, they could result in a lack of competition, resulting in higher prices, inefficiencies and a disincentive to innovation. And while often useful in matters of foreign policy, tariffs can also spark what’s called a trade war. A trade waris when one country sets a tariff or other measures on another country, which then sparks a retaliatory tariff by that latter country, ending up in a cycle of retaliation that has negative effects on the industries on both sides.