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A tax on products being brought into a nation is normally called a tariff. Tariffs can be positive or have negative results. Taxation means that another party has to pay the tax. What this refers to is this. A nation's citizens pay for the tax when they buy a product that is priced high to absorb the tariff. Or, the producer of the taxed product simply decides to not export a good product because the tariff is a political weapon.

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