Answer to Question #78442 in Macroeconomics for Henry Myers

Question

Beyond industrial protection, are tariff walls a form of tax shifting because the Government gets the revenue from the tariff, but the consumer pays it in higher prices?

Answer 1

Beyond industrial protection, tariff walls are a form of tax shifting because tax shift is a change in taxation that eliminates or reduces one or several taxes and establishes or increases others while keeping the overall revenue the same.