An example of a quota that protects an American industry is the quota on
A)tourists entering the country.
B)sugar imports.
C)sales of oil products to foreign countries.
D)purchases of military hardware to foreign dictators.
E)All of the above are examples of protective quotas.

Question

Quizplus · Accepted Answer

The quota on sugar imports protects the American sugar industry by limiting the amount of foreign sugar that can be imported into the country, thereby keeping prices higher for domestic producers. The other options listed do not pertain to specific American industries and therefore do not serve as examples of protective quotas.

An Example of a Quota That Protects an American Industry