If a Quota Is Imposed on Imports of Shrimp into the United

question 144

Multiple Choice

If a quota is imposed on imports of shrimp into the United States,U.S.consumer surplus from shrimp will ________ and U.S.producer surplus from shrimp will ________.

• A) increase; increase
• B) increase; decrease
• C) decrease; increase
• D) decrease; decrease
• E) increase; not change

---

Definitions:

Identical Units

Units that are uniform in every aspect, including features, quality, and performance, typically used in manufacturing and inventory contexts.

Continuous Basis

An approach to monitoring, recording, or operating that occurs without interruption or on an ongoing basis, often used in the context of production or financial transactions.

Process Cost System

A financial recording system designed to allocate expenses to identical items produced in bulk through an ongoing process.

Natural Gas Refinery

A facility that processes raw natural gas to remove impurities, contaminants, and any other components before it can be used as fuel or further processed.