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All of the Following Are True of Quotas EXCEPT ________

Question 2

Multiple Choice

All of the following are true of quotas EXCEPT ________.


A) they may be used to protect domestic producers by placing a limit on the amount of goods allowed to enter the country
B) they help domestic producers maintain their market shares and prices
C) domestic producers may win because their market is protected
D) prices of intermediate goods always decrease

Correct Answer:

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