A Quota Is a

question 86

Multiple Choice

A quota is a

• A) legal limit on the quantity of a good that may be imported.
• B) legal limit on the price of a good that may be imported.
• C) tax imposed on an imported good.
• D) tax imposed on an exported good.
• E) menu cost.

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Definitions:

Competition

is the rivalry among sellers in the same market to attract customers by offering better terms, quality, or services.

Freedom of Enterprise

Freedom of enterprise is the principle that individuals or businesses have the right to own, operate, and profit from their own ventures in an open market with minimal government interference.

Division of Labor

The assignment of different parts of a manufacturing process or task to different people in order to improve efficiency.