A tiny South Pacific island country produces large quantities of coconut-based products. To protect this industry, the island government mandates that only designated trading companies can import the crop, each of which is allocated the right to import a maximum number of pounds of coconuts each year. This is an example of a(n)

Question

Quizplus · Accepted Answer

This is an example of an import quota, which limits the quantity of a product that can be imported into a country.

A Tiny South Pacific Island Country Produces Large Quantities of Coconut-Based