If the USGovernment Imposes a Quota on the Amount of French Wine

question 86

Essay

If the U.S.government imposes a quota on the amount of French wine allowed into the United States and the quota is set at a quantity below equilibrium, the price of French wine in the United States will ________ while the U.S.-produced wine will _.
A.increase; increase
B.increase; decrease
C.decrease; increase
D.decrease; decrease

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