If the United States government were to impose a quota on wristwatches imported from Switzerland, then the:
A) Price of wristwatches in the United States would decrease and total quantity consumed (domestic and imported) will increase
B) Prices of wristwatches in Switzerland would rise and that's how Switzerland would be hurt by the quota
C) Price of wristwatches in the United States would remain the same, but the quantity will fall as imports fall
D) Total quantity of wristwatches (domestic and imported) purchased would decline as prices rise
Correct Answer:
Verified
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