In the context of nontariff barriers, which of the following is a similarity between quotas and voluntary export restraints?
A) Both impose a complete ban on any kind of trade with a specific country.
B) Both limit the amount of a product that can be imported annually.
C) Both are imposed by the exporting country rather than the importing country.
D) Both levy a direct tax on imported goods.

Question

Quizplus · Accepted Answer

Both quotas and voluntary export restraints limit the amount of a particular product that can be imported into a country, thereby restricting trade.

In the Context of Nontariff Barriers, Which of the Following