Problem
1. How does an import quota differ from a tariff? Can the government ever capture the quota rent? If so, how?
2. If you were an import-competing producer in a growing market, which trade instrument would you prefer-a tariff, an import quota, or a subsidy? Why?
3. What is the difference between an export tax and an export subsidy? Which instrument are domestic consumers likely to prefer? Why?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.