A key difference between tariffs and quotas is that
A) consumers are hurt with quotas but not with tariffs.
B) consumers are hurt with tariffs but not with quotas.
C) the government receives revenue with tariffs, but the importer receives added profit with quotas.
D) the government receives revenue with quotas, but the importer receives added profit with tariffs.
C
You might also like to view...
Which of the following represents dead capital?
A) capital that lacks clear title of ownership B) capital that has worn out over time C) capital that has become obsolete D) none of the above
If Alan Shaw reduces his work hours when his salary increases, then
A) the substitution effect of his salary increase dominates the income effect. B) leisure is an inferior good to Alan. C) the income effect of his salary increase dominates the substitution effect. D) the income effect of his salary increase is completely offset by the substitution effect.