Which of the following is one way in which an embargo differs from tariff
One way in which an embargo differs from a tariff is that an embargo completely bans trade between two or more countries, while a tariff is a tax imposed on imported or exported goods, but trade is not completely stopped.
One way in which an embargo differs from a tariff is in the scope of the trade restriction.
1. Embargo:
An embargo is a complete ban on trade between countries. It is put in place by a country to prohibit the import or export of certain goods or services to or from another country. The restriction applies to all goods and services and is usually motivated by political, social, or security concerns. For example, the United States embargo on Cuba prohibits all trade between the two countries.
2. Tariff:
On the other hand, a tariff is a tax or duty imposed on imports or exports. It is a form of trade barrier that adds an extra cost to goods when they are imported into a country or exported from a country. Tariffs can be specific (based on quantity) or ad valorem (based on the value of the goods). The purpose of tariffs can vary, but they are primarily used to protect domestic industries, generate revenue, or correct trade imbalances.
In summary, while both embargoes and tariffs restrict trade, an embargo is a total ban on trade between countries, whereas a tariff is a tax imposed on specific imports or exports.