In comparing tariffs and quotas, we know that
A) neither raises revenues for the federal government.
B) both raise revenues for the federal government.
C) tariffs raise revenues for the federal government, while quotas do not.
D) quotas raise revenues for the federal government, while tariffs do not.

Question

Quizplus · Accepted Answer

Tariffs are taxes on imported goods, so they raise revenues for the federal government. Quotas, however, limit the quantity of imported goods, so they do not generate revenue for the government.

In Comparing Tariffs and Quotas, We Know That