Tariff
A tariff is a tax on imports or exports between sovereign states. It is a form of regulation of foreign trade. It is a policy that taxes foreign products to encourage or protect domestic industry. It helps limit trade deficits. The tariff is historically used to protect infant industries and to allow import substitution industrialization.
Tariff of 1833
The Tariff of 1828, enacted on May 19, 1828, was a protective tariff passed by the U.S. Congress. It was the highest tariff in U.S. peacetime history up to that point, enacting a 62% tax on 92% of all imported goods. The goal of the tariff was to protect northern U.S. industries by placing a tax on low-priced imported goods, which had been driving northern industries out of business. Nevertheless, the South strongly resisted the Tariff of 1828 for several reasons. Firstly, they were forced to pay higher prices on goods that the region did not produce, and secondly, the reduced importation of British goods made it difficult for the British to pay for cotton imported from the South. In essence, the South was simultaneously forced to pay more for goods and to face reduced income from sales of raw materials. These unfortunate results caused many in the South to refer to the Tariff of 1828 as the Tariff of Abominations.