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Many countries have value-added taxes-taxes that are paid by producers, but are intended to fall on consumers. (They're basically just an indirect way of imposing

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Many countries have value-added taxes-taxes that are paid by producers, but are intended to fall on consumers. (They're basically just an indirect way of imposing sales taxes.) Such value-added taxes are always accompanied by an equal tax on imports; such import taxes are considered legal because, like the value-added tax, they're really an indirect way of taxing all consumer purchases at the same rate. Compare this situation to the argument over carbon tariffs. Which of the following statements regarding carbon tariffs is true? O A. A carbon tariff is put into place to encourage domestic firms to move their production to a pollution haven with lax environmental regulations. O B. A carbon tariff would give an artificial advantage to domestic firms if it would be more costly for a domestic firm to reduce its carbon emissions than a foreign firm. O C. By imposing a carbon tariff on imports, the overall level of pollution will be increased. O D. An objection over carbon tariffs is that they may be discriminating between domestic and foreign goods

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