ECONOMICS
BARRIERS TO TRADE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Tariffs
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Quotas
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Preservation of Standards
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Export Subsidies
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Embargo
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Detailed explanation-1: -Answer & Explanation. Tariff quota is a policy whereby there is a specified number of goods that can be imported to a country at one tariff rate and a higher tariff rate is applied when imports exceeds this quantity of imports.
Detailed explanation-2: -Protectionism is the economic policy of restraining trade between countries through methods such as tariffs on imported goods, restrictive quotas, and a variety of other government regulations designed to foster fair competition between imports and domestically produced goods and services.
Detailed explanation-3: -Trade barriers are often enacted to protect industries and workers within a country. This is referred to as protectionism. For example, tariffs, quotas and embargoes make foreign goods more expensive and less available.
Detailed explanation-4: -Which of the following statements is true regarding tariffs and quotas? Both tariffs and quotas can generate revenue for the government.