Which of the following a difference between a quota and a boycott?
A)A boycott is a limit on the amount of goods entering a country, whereas a quota is a tax levied on goods entering a country.
B)A boycott is the revenue received from international trade, whereas a quota is the revenue received from domestic trade.
C)A boycott is used to include all foreign competition, whereas a quota is used by governments to exclude companies from countries with which they have a political dispute.
D)A boycott is the exclusion of all products from certain countries or companies, whereas a quota is a means of protection from foreign competition.

Question

Quizplus · Accepted Answer

A boycott is an exclusion of all products from certain countries or companies, whereas a quota is a means of protection from foreign competition by limiting the amount of goods that can be imported. Therefore, option D correctly identifies the difference between a boycott and a quota. Option A is incorrect as it incorrectly defines a quota as a tax on goods entering a country. Option B is also incorrect as it confuses the concept of revenue with the definitions of boycott and quota. Option C is incorrect as it incorrectly defines the purpose of a boycott and a quota.

Which of the Following a Difference Between a Quota and a Boycott