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anthony is a farmer in central saskatchewan. his tractor recently broke…

Question

anthony is a farmer in central saskatchewan. his tractor recently broke down, however, due to the age of the tractor he can only get parts from a dealership out of des moines, iowa, in the united states. due to the part needing to cross the border, the dealership in iowa is telling him he will have to pay an extra 5% tax on top of the total cost to the canadian government.

  1. based on the source above, which of the following best describes the type of tax anthony is being forced to pay?

a. quota tax
b. tariff
c. liberalization tax
d. provincial sales tax

  1. based on the source above, which of the following key concepts is not being demonstrated?

a. economic protectionism
b. barriers to free trade
c. trade liberalization
d. all of the above

Explanation:

Brief Explanations
For Question 4:

A tariff is a tax imposed on goods crossing international borders. Anthony is paying an extra tax on parts imported from the US to Canada, which matches the definition of a tariff. A quota tax does not exist as a standard term, liberalization tax is not a valid tax type here, and provincial sales tax applies to domestic sales, not cross-border imports.

For Question 5:

The scenario shows a trade barrier (tariff) which is a form of economic protectionism. Trade liberalization involves reducing or eliminating such barriers, so it is not demonstrated here.

Answer:

  1. b. Tariff
  2. c. Trade liberalization