The difference between the demand price and the supply price at the quota limit is:
A)the quota rent.
B)the rent received by landlords who own rent-controlled apartments.
C)the opportunity cost of using or buying a good,subject to an import quota.
D)usually large enough to cause a surplus.

Question

Quizplus · Accepted Answer

The difference between the demand price and the supply price at the quota limit is known as the quota rent. This is the additional amount consumers are willing to pay and the amount producers receive due to the limited supply caused by the import quota.

The Difference Between the Demand Price and the Supply Price