If the U.S.imposes a Quota on Cotton,then

question 30

Multiple Choice

If the U.S.imposes a quota on cotton,then

• A)both exports and imports of other goods will rise.
• B)exports of other goods will rise and imports of other goods will fall.
• C)exports of other goods will fall and imports of other goods will rise.
• D)both imports and exports of other goods will fall.

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Definitions:

Output

The total amount of goods and services produced by a company, industry, or economy.

Marginal Revenue Curve

A graphical representation that shows how marginal revenue varies with changes in the quantity of output sold.

Deadweight Loss

A loss of economic efficiency that can occur when equilibrium for a good or a service is not achieved or is not achievable.

Monopoly Pricing

The pricing strategies employed by a monopoly, characterized by the ability to set prices higher due to lack of competition.