A tax that a country imposes on its
imports and, occasionally,
exports. A duty exists to make an import more
expensive and to thereby encourage people to
buy goods produced in their own country. Proponents of their use argue that duties discourage
outsourcing of
jobs to other countries and make the country more self-sufficient, but most
economists agree that they are
economically inefficient and some contend that they may ultimately harm the people they are intended to help. A duty is also called a tariff. See also:
WTO, International trade,
Globalization.