Which of the Following Is True (Assume the Small Country

Multiple Choice

Which of the following is true (assume the small country case) ?

A) With a quota, an increase in demand leads to a higher price and more imports.
B) With a tariff, an increase in demand leads to a higher price and more imports.
C) With either a tariff or a quota, an increase in demand leads to a higher price and more imports.
D) None of the above are true.