📊 International Economics
Q. The home-country government can confiscate the revenue effect of an import quota if
  • (A) Quota licenses are given to foreign exporting companies
  • (B) Quota licenses are auctioned to the highest-bidding importing company
  • (C) If quota licenses are given to domestic consumers of the good
  • (D) Both (a) and (c)
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✅ Correct Answer: (B) Quota licenses are auctioned to the highest-bidding importing company

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