Tariff
In contrast, in economic theory tariffs are viewed as a primary element in international trade with the function of the tariff being to influence the flow of trade by lowering or raising the price of targeted goods to create what amounts to an artificial competitive advantage. When tariffs are viewed and used in this fashion, they are addressing the country's and the competitors' respective economic healths in terms of maximizing or minimizing revenue flow rather than in terms of the ability to generate and maintain a competitive advantage which is the source of the revenue. As a result, the impact of the tariffs on the economic health of the country are at best minimal but often are counter-productive.
German tariff of 1879
The tariff imposed moderate import duties on grain and raised the duties on livestock products. Wheat, rye and oats were subject to a duty of 1 mark per 100kg; on barley and maize 50 pfennigs; on flour 2 marks; on meat 12 marks; on oxen 20 marks; sheep 1 mark; pigs 25 marks. Raw materials for industry such as cotton, flax, hemp, wool and coal were admitted duty free. The duty on pig iron was 1 mark; on semi-manufactured goods made from iron and steel it ranged from 2 to 2.5 marks; for other iron and steel goods the duty ranged from 7.5 to 15 marks. On machinery it was 3 to 8 marks; for yarns and textiles the rates were 15 to 30 per cent. "ad valorem".