How Do Quantitative Export Restrictions and an Equivalent Export Tax

question 19

Multiple Choice

How do quantitative export restrictions and an equivalent export tax rate differ?

• A) There is no difference
• B) Under an export tax money is generated for the government and with a quantitative restriction money is generated for domestic consumers
• C) Under an export tax money is generated for the government and with a quantitative restriction money is generated for domestic exporters
• D) Under an export tax money is generated for exporters and with quantitative restrictions money is generated for the government.

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