O a. To raise government revenue O b. To protect producers from declines in domestic demand Oc To minimize the inefficiency of the trade barrier O d. To protect domestic producers from declines in the world price

Principles of Microeconomics
7th Edition
ISBN:9781305156050
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter9: Application: International Trade
Section: Chapter Questions
Problem 2CQQ
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15. While import tariffs and import quotas can both be used to protect domestic producers, the import quota is the more effective policy when the policy goal
is
O a. To raise government revenue
O b. To protect producers from declines in domestic demand
O. To minimize the inefficiency of the trade barrier
O d. To protect domestic producers from declines in the world price
Transcribed Image Text:15. While import tariffs and import quotas can both be used to protect domestic producers, the import quota is the more effective policy when the policy goal is O a. To raise government revenue O b. To protect producers from declines in domestic demand O. To minimize the inefficiency of the trade barrier O d. To protect domestic producers from declines in the world price
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