A small country's demand curve is given by Q=10-(P/2) and its supply curve is given by Q=P-5. Assume that there is initially free trade and that the world price under free trade is $7. If an import quota of 1.5 is now introduced in this country, what will be the change in this country's government revenue (everything else being equal) if foreign firms have to acquire an import licence at full value?
a. increases by 5
b. increases by 7
c. no change
d. increases by 3