The Fundamental Difference Between Quotas and Import Licenses as a Means

question 19

Multiple Choice

The fundamental difference between quotas and import licenses as a means of controlling imports is that:

• A) import licenses have greater flexibility over quotas.
• B) quotas impose specific limitations on trade, and import licenses take care of standards.
• C) quotas are imposed on export goods, and import licenses are imposed on import goods.
• D) for quotas, the exporting country sets the limits, but licenses are issued by the importing country.
• E) unlike licenses, quotas limit quantities on a case-by-case basis.

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Definitions:

Exploratory Research

Research conducted to gather more information about a problem or to make a tentative hypothesis more specific, often the initial step in the research process.

Marketing Research

The process of gathering, analyzing, and interpreting information about a market, about a product or service to be offered for sale in that market, and about past, present, and potential customers for the product or service.

Sampling

The process of selecting a subset of individuals, items, or data from a larger population or set to estimate characteristics or outcomes of the whole group.

Representative Elements

Chemical elements found in groups 1, 2, and 13-18 of the periodic table, characterized by their wide range of physical and chemical properties.