The Welfare Loss from an Import Quota Is Greater Than

question 95

Multiple Choice

The welfare loss from an import quota is greater than that of an equivalent tariff because

• A) tariff revenues can be used to society's benefit.
• B) the loss in consumer surplus is not as large.
• C) domestic producers gain more from a quota than from a tariff.
• D) tariff revenues represent an additional deadweight loss.

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Definitions:

Pulmonary Circuit

The pathway of blood flow between the heart and lungs where carbon dioxide is exchanged for oxygen.

Red Blood Cells

The cells in the blood responsible for carrying oxygen from the lungs to the body tissues and carbon dioxide back to the lungs.

Hemoglobin

A protein in red blood cells responsible for transporting oxygen from the lungs to the body's organs and tissues and bringing back carbon dioxide from them for expulsion.

Single Circuit

Refers to a type of blood circulation system where the blood passes through the heart once in a complete circuit of the body, typical of fish.