The figure below shows the demand (D) and supply (S) curves of corn syrups.Figure 21.3

-The basic difference between a tariff and quota is that:
A) a quota can be imposed both on imports and exports, whereas a tariff can be imposed only on imports.
B) a quota yields revenue to the government, whereas a tariff does not yield any revenue.
C) a tariff reduces the import of the goods with greater certainty than quota as the amount of import restricted by quota depends on the price elasticity of demand for importable.
D) a tariff is a quantitative restriction on imports, whereas a quota is an import duty.
E) a tariff raises the price of the product only in the domestic market, whereas with a quota, both domestic and foreign producers receive a higher price.
Correct Answer:
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Q70: The figure below shows the demand (D)
Q71: The figure below shows the demand (D)
Q72: The figure below shows the demand (D)
Q73: The figure below shows the demand (D)
Q74: The figure below shows the demand (D)
Q76: The figure below shows the demand (D)
Q77: The figure below shows the demand (D)
Q78: The figure below shows the demand (D)
Q79: The figure below shows the demand (D)
Q80: The figure below shows the demand (D)
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