-Refer to the above diagram,where S_d and D_d are the domestic supply and demand for a product and P_c is the world price of that product.S_d + Q is the product supply curve after an import quota is imposed.The effect of the import quota on domestic price and domestic consumption is:

Question

-Refer to the above diagram,where S<sub>d</sub> and D<sub>d</sub> are the domestic supply and demand for a product and P<sub>c</sub> is the world price of that product.S<sub>d</sub> + Q is the product supply curve after an import quota is imposed.The effect of the import quota on domestic price and domestic consumption is: A) the same as that of a tariff of P<sub>c</sub>P<sub>t</sub>. B) the same as that of a tariff of P<sub>t</sub>P<sub>a</sub>. C) the same as that of a tariff of P<sub>c</sub>P<sub>a</sub>. D) to raise price by more and reduce consumption less than a tariff of P<sub>c</sub>P<sub>t</sub>.

Quizplus · Accepted Answer

The Answer of -Refer to the above diagram,where S_d and D_d are the domestic supply and demand for a product and P_c is the world price of that product.S_d + Q is the product supply curve after an import quota is imposed.The effect of the import quota on domestic price and domestic consumption is:

-Refer to the Above Diagram,where Sd and Dd Are the Domestic

-Refer to the Above Diagram,where S_d and D_d Are the Domestic