19
QuizMultiple Choice

Globalization — Cumulative exam

Question 19 • GA-GSE Personal Finance and Economics

What is the government’s aim in setting quotas?

Answer
A
to create more competition in the market
B
to increase sales of domestic goods
C
to keep tariffs high
D
to limit export of domestic goods

Explanation

A quota limits how much of a good can be imported. With fewer imported goods competing in the market, consumers may buy more domestically produced goods, helping increase their sales. So the government’s aim is to increase sales of domestic goods.

AI-written and checked against the verified answer.

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