Voluntary export restraints VERs)

Question

Quizplus · Accepted Answer

Voluntary export restraints (VERs) limit the amount of goods that can be exported by a foreign country to another country. This leads to a decrease in supply, which in turn raises the prices paid by domestic consumers. Therefore, choice A is the correct answer. Choices B and C are incorrect, as VERs are often implemented to protect domestic producers by limiting foreign competition and do not raise revenue for the governments involved.

Voluntary Export Restraints VERs)