Question

a.	The home market buys expensive products rather than cheaper products
	b.	The home market buys cheaper products rather than expensive products
	c.	It is levied on manufactured goods rather than primary products
	d.	The home demand for a good is elastic with respect to price changes

Answer 1

A Specific Tariff is a type of import duty which is levied in terms of amount of the goods imported by a nation. It provides more protection to the home producers when the home market buyers buys cheaper products rather than expensive products.

When the tariff is in terms of specific amount per unit then the overall price of the imports rises, due to high pricing the demand of the imported product is lowered, thus any local industries which is producing the product will get benefitted or we can say become more competitive in the market. When the tariff is in terms of a fixed percentage or value despite of quantity is defined as Ad Velorem duty or tariff.