Examples of quota in the following topics:
-
- There are two main types of import quota: the absolute quota and the tariff-rate quota.
- A tariff-rate quota is a two-tier quota system that combines characteristics of tariffs and quotas.
- Often, quotas are instituted to:
- Quotas may also encourage smuggling.
- As quotas raise the price of domestic goods, it becomes profitable to try and circumvent the quota by bringing in goods illegally, or in excess of the quota.
-
- Government can promote free trade by reducing tariffs, quotas, and non-tariff barriers.
- Free trade is a policy by which a government does not discriminate against imports or interfere with exports by applying tariffs (to imports), subsidies (to exports), or quotas.
- Tariffs and quotas are explicit government policies that are designed to protect domestic producers, even if they are not the most efficient producers .
- In addition to tariffs and quotas, there are a number of other barriers to free trade that countries use.
- NTBs act just like tariffs and quotas in that they are barriers to free trade.
-
- To prevent over-fishing, a negative externality, governments may impose individual fishing quotas (IFQs), which set an allowable catch limit for fisheries.
- To address the problem of negative externalities, governments may use a quota system to try and limit them.
- In a quota system, the negative externality is capped at a certain amount.
- In the example of pollution, the government may put a quota on the amount of pollution a factory can produce by issuing tradable permits.
-
- Import Quotas: Policy makers often implement quotas in agriculture to retain more control over prices and protect domestic incumbents.
- Quotas, like other forms of trade protection, benefit the local industry.
-
- Free trade policies consist of eliminating export tariffs, import quotas, and export quotas; all of which cause more losses than benefits for a country.
-
- At times in its history, the country has had a strong impulse toward economic protectionism (the practice of using tariffs or quotas to limit imports of foreign goods in order to protect native industry).
-
- Governments can institute any number of policies that prevent markets from achieving the free market equilibrium price and quantity: taxes raise prices, quotas limit the quantity sold, and regulations affect the supply and demand curves.
-
- This can happen through price floors, caps, taxes, tariffs, or quotas.
-
- The Uruguay Round was finally completed in 1995, with participants pledging to curb their farm and export subsidies and making some other changes designed to move toward freer trade (such as converting import quotas to more easily reduceable tariffs).
-
- In 1979, as a result of the success of the Tokyo Round, the United States and approximately 100 other nations agreed to further tariff reductions and to the reduction of such nontariff barriers to trade as quotas and licensing requirements.