Which of the Following Is True of Quotas

question 86

Multiple Choice

Which of the following is true of quotas?

• A) They are the most common type of trade barrier.
• B) They help domestic producers maintain their market shares and prices.
• C) Their licenses are granted by governments to other nation companies on a five-year basis.
• D) They lead to a decrease in the prices of intermediate goods.

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Definitions:

JIT Point

A strategy where materials, goods, and even labor are delivered or acquired just in time to be used, reducing storage and inventory costs.