In economics, the effective rate of protection is a measure of the total effect of the entire tariff structure on the value added per unit of output in each industry, when both intermediate and final goods are imported. This statistic is used by economists to measure the real amount of protection afforded to a particular industry by import duties, tariffs or other trade restrictions.
Read more about Effective Rate Of Protection: Explanation
Famous quotes containing the words effective, rate and/or protection:
“Knowledge about life is one thing; effective occupation of a place in life, with its dynamic currents passing through your being, is another.”
—William James (18421910)
“You are more than entitled not to know what the word performative means. It is a new word and an ugly word, and perhaps it does not mean anything very much. But at any rate there is one thing in its favor, it is not a profound word.”
—J.L. (John Langshaw)
“After so many historical illustrations of the evil effects of abandoning the policy of protection for that of a revenue tariff, we are again confronted by the suggestion that the principle of protection shall be eliminated from our tariff legislation. Have we not had enough of such experiments?”
—Benjamin Harrison (18331901)