An important difference between tariffs and quotas is that tariffs
A)help domestic producers.
B)raise the price of the good.
C)stimulate international trade.
D)generate tax revenue for the government.
E)are paid by foreign producers.

Question

Quizplus · Accepted Answer

Tariffs generate tax revenue for the government because they are taxes imposed on imported goods, whereas quotas do not generate revenue as they are limits on the quantity of goods that can be imported.

An Important Difference Between Tariffs and Quotas Is That Tariffs