What are tariffs mainly used for?

Tariffs are primarily implemented to protect domestic industries from foreign competition. By imposing tariffs on imported goods, a government makes these goods more expensive relative to domestic products. This price increase encourages consumers to buy locally produced items rather than imported ones, providing a competitive edge to domestic producers.

The rationale behind this policy is often to support local jobs and businesses that might struggle to compete with cheaper foreign alternatives. Additionally, by fostering a more favorable environment for domestic industries, tariffs can lead to increased local production and economic stability.

Other options, while they might touch on aspects of economic policy, do not capture the main purpose of tariffs. For example, lowering domestic taxation or subsidizing domestic products involves different economic tools and strategies that do not directly relate to the role of tariffs. Similarly, while tariffs might inadvertently influence export levels, their main function is not to increase exports but to regulate and protect the domestic market from foreign competition.