Question

question 6 of 10
in a free market with no government - added charges, what is one reason why imported goods might be more expensive than domestic goods?
increased tariff charges
quotas restrictions
surplus of imported goods
long - distance travel costs

Explanation:

The question is about why imported goods might be more expensive than domestic goods in a free market with no government - added charges. Tariffs and quotas are government - imposed, so they are not applicable here. A surplus of imported goods would likely lower their price, not increase it. Long - distance travel costs (transportation costs) for imported goods, as they have to be shipped over long distances, can add to their cost, making them more expensive than domestic goods which don't have such long - distance transport costs.

Answer:

D. Long - distance travel costs