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The tiny South Pacific island country of Maroji produces a lot of milk and milk-based products.
To protect this industry, Maroji mandates that only designated trading companies can import cheese, each of which is allocated the right to import a maximum number of pounds of cheese each year.

By doing this, Maroji controls the amount of imported cheese. This is an example of a(n) :a. import quotab. import dutyc. import tariffd. subsidye. local content requirementPlease explain answer.

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sebastiansierraocm

Answer:

It is an example of an import quota

Explanation:

An import quota is a ceiling on the physical or monetary amount of a product that a firm can import.

In this question, only a few firms can import cheese, and each firm has a ceiling on the amount of cheese they can import per year. The limit is expressed in physical terms (pounds of cheese). The logic behind import quotas is protect local industries, however, they oftern result either in shortages or in higher prices for consumers.

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