Imports of Canadian Timber Are Limited to 14

question 30

Multiple Choice

Imports of Canadian timber are limited to 14.7 billion board feet per year.This is an example of a(n) ________.

• A) tariff
• B) embargo
• C) subsidy
• D) quota

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Definitions:

Profit-Maximizing

The strategy or approach adopted by a company to increase its earnings to the highest possible level.

Perfectly Competitive

A market structure where there are many buyers and sellers, all of whom have full and symmetric information, and there are no barriers to entry or exit.

Level of Output

The total quantity of goods or services produced by a firm, industry, or economy within a specific period.

Average Total Cost

The total cost of production divided by the total quantity produced.