What is the main difference between a tariff and a quota based on the effects on consumer surplus, producer surplus, and government revenues?
A) The loss of consumer surplus from tariffs is always larger.
B) The loss of consumer surplus from quotas is always larger.
C) The gain in producer surplus from tariffs is always larger.
D) The amount of government revenues collected from a tariff is always larger.
Correct Answer:
Verified
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