Cotton Quota (Scenario) Cotton Growers in the Nation of Zanzi Export Nearly 700,000

question 40

Multiple Choice

Cotton Quota (Scenario)
Cotton growers in the nation of Zanzi export nearly 700,000 bales of cotton every year. Zanzi is the home country for a fabric manufacturing facility that exports high-quality cotton fabric around the world. The government imposed a quota of 1 million bales of cotton that can be imported into Zanzi every year. The local fabric manufacturer is lobbying the government to remove the quota on cotton.
-Which of the following questions would be most important for government officials to evaluate when considering the controversy over the cotton quota?

• A) What would be the short-term effect of additional agricultural quotas?
• B) What other nations utilize agricultural quotas and what are the effects?
• C) Does the government of Zanzi impose heavy duties on dumping?
• D) What will be the long-term effect of the cotton quota on the Zanzi economy?

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Definitions:

Autocratic Governments

Autocratic governments are characterized by a single authority or leader with absolute power, where decision-making is centralized and citizen participation is minimal or non-existent.

Democratic Governments

Democratic governments are those in which power is vested in the hands of the people, either directly or through elected representatives, and decisions are made based on majority rule.

Intermediary Governments

These are levels of government situated between the central or national authorities and the local governments, facilitating coordination and policy implementation across different regions.

Elite Theory

A theory asserting that a small minority, consisting of members of the economic elite and policy-planning networks, holds the most power in society which they use to influence and control public policy.