In Comparing a Tariff and an Import Quota, We Find

question 151

Multiple Choice

In comparing a tariff and an import quota, we find that

• A)the tariff and quota both generate the same amount of revenue for the U.S. Treasury.
• B)the tariff generates revenue for the U.S. Treasury, but the quota does not.
• C)the quota generates revenue for the U.S. Treasury, but the tariff does not.
• D)neither the tariff nor the quota generates revenue for the U.S. Treasury.

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Definitions:

Canada

A country in North America known for its vast landscapes, multicultural population, and as being the second-largest country in the world by total area.

Mexico

A country in the southern portion of North America known for its rich history, diverse cultures, and significant economic activities.

European Union

A political and economic union of 27 member states located primarily in Europe, aimed at facilitating economic cooperation, trade, and policy harmonization.

Competitive Implications

The potential impacts on an organization's position in the market relative to others, as a result of its actions or changes in the environment.