MCQOPTIONS
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| 1. |
If a tariff and import quota lead to equivalent increases in the domestic price of steel, then ? |
| A. | the quota results in efficiency reductions but the tariff does not |
| B. | The tariff results in efficiency reductions but the quota does not |
| C. | They have different impacts on how much is produced and consumed |
| D. | They have different impacts on how income is distributed |
| Answer» E. | |