What term describes a tax placed on imports in order to reduce trade?

The term that describes a tax placed on imports to reduce trade is a tariff. A tariff is specifically aimed at imported goods, and its primary purpose is to raise the price of these goods, making them less competitive compared to domestic products. This can lead to reduced import levels, thereby protecting local industries from foreign competition. Tariffs are often used by governments to manage trade balances and support domestic economic goals.

In contrast, an excise tax is typically applied to specific goods like alcohol or tobacco, and a sales tax is levied on the sale of goods and services, usually at the point of sale. An income tax is a tax on individual or corporate earnings. Each of these other types of taxes serves different functions in the economy and does not specifically target imports as a tariff does.