Which Type of Policy Raises the Most Revenue for the Government

question 44

Multiple Choice

Which type of policy raises the most revenue for the government?

• A) tariff
• B) quota
• C) voluntary export restraints
• D) If they are set at the same level, all of the above raise the same amount of revenue.
• E) None of the above answers is correct because none of the policies raise revenue for the government.

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Definitions:

Organic Product

A compound or material derived from living organisms or produced by chemical reactions involving organic compounds.

Reaction

A procedure whereby reactants are changed into different entities, the outcomes of which are called products.

Sodium Salt

A compound formed from the neutralization of an acid with sodium hydroxide, where the hydrogen of the acid is replaced with a sodium ion.

Fatty Acid

Organic molecules consisting of a hydrocarbon chain and a terminal carboxyl group, playing vital roles in energy storage and cell membrane structure.