Umeron, a European country, wants to import 18 million bales of cotton from Trumberton, an Asian country. However, Umeron is able to import only 10 million bales because Umeron's import laws limit the amount of cotton and jute that can be imported. In the given scenario, the government of Umeron has imposed a(n) _____ to restrict international trade.

Question

Quizplus · Accepted Answer

A quota is a government-imposed trade restriction that limits the number or value of goods that can be imported or exported during a particular time period. In this scenario, Umeron has imposed a quota on the import of cotton.

Umeron, a European Country, Wants to Import 18 Million Bales