The Primary Difference Between an Import Tariff and an Import

question 129

Multiple Choice

The primary difference between an import tariff and an import quota is that

• A)tariffs cause prices to rise, but quotas do not
• B)quotas cause prices to rise, but tariffs do not
• C)tariffs result in a net welfare loss, but quotas do not
• D)quotas result in a net welfare loss, but tariffs do not
• E)tariff revenues go to government, but quotas benefit those with the right to sell foreign goods domestically

---

Definitions:

Primary Objectives

Primary objectives are the fundamental goals that an organization or project aims to achieve, serving as the key drivers for its strategies and actions.

Strategic Planning

The process of defining a company’s strategy or direction and making decisions on allocating resources to pursue this strategy.

Tactical Planning

Short-term, detailed planning that supports strategic goals by focusing on day-to-day operations and resources.

Operational Planning

The process of creating specific procedures and actions to achieve tactical goals and objectives within a short time frame.