What Is the Difference Between a Tariff and a Quota

question 2

Multiple Choice

What is the difference between a tariff and a quota?

• A)A tariff causes an increase in the price,whereas a quota does not affect the price.
• B)Both a tariff and a quota will affect the price,but a tariff has no effect on the quantity,whereas a quota will lead to a reduction.
• C)Both a tariff and a quota will affect the price,but a tariff has no effect on the quantity,whereas a quota will lead to an increase.
• D)A quota affects all foreign producers equally,whereas a tariff does not.
• E)A tariff affects all foreign producers equally,whereas a quota does not.

---

Definitions:

Job-relevant Knowledge

Information and understandings that are directly applicable to performing tasks and responsibilities in a specific job context.

Skills

The abilities or expertise acquired through training or experience that enable an individual to perform tasks effectively.

Abilities

The natural or acquired skills and talents that enable individuals to perform tasks effectively.

Strategic

Relating to the identification of long-term or overall aims and interests and the means of achieving them, often within a business or organizational context.