Import Quotas on Products Will Reduce the Quantity of the Imported

question 318

Multiple Choice

Import quotas on products will reduce the quantity of the imported products and

• A) decrease the price to the consumers.
• B) increase the price to the consumers.
• C) will not affect the price to the consumers.
• D) increase the total quantity of the product consumed.

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Definitions:

Digressive

Characteristics of a process or system that decreases in intensity or rate as it progresses.

Social Security (FICA) Tax

A mandatory payroll tax funded by both employers and employees to finance Social Security benefits.

Annual Income

The total amount of money earned by an individual or entity within a year from all sources, including wages, salaries, bonuses, and investments.

Marginal Tax Rate

The rate at which the last dollar of a taxpayer’s income is taxed, indicating the proportion of additional income that is paid in taxes.