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Commerce · Q290

Business Environment and International Business

Graduate and Post Graduate · Commerce · question 290

Q290

During periods of growing domestic demand an import quota,

A.
is less restrictive on a country's imports than a tariff
B.
is more restrictive on a country's imports than a tariff
Answer
C.
has the same restrictive effect on a country's imports as a tariff
D.
will always generate increased tax revenue for the government

Answer: Option B

Solution

Answer: Option B
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