What is a large import quota? (1 Viewer)

[enigma_1]

Does this mean a large number of imports or a large restriction?

Thanks

 

[Examine]

Could you provide the context?

 

[enigma_1]

Tim Riley:

Quotas are a qualitative restriction on certain categories of imported goods. The larger (smaller) the import quota, the greater (lesser) the quantity of goods that may be imported and the less (more) the protection effect.

HOW CONFUSING IS THAT????

LOL so is he trying to say:

Quotas are a qualitative restriction on certain categories of imported goods. The larger the import quota, the greater the quantity of goods that may be imported and the less the protection effect.

AND

Quotas are a qualitative restriction on certain categories of imported goods. The smaller the import quota, the lesser the quantity of goods that may be imported and the more the protection effect.


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bUT THEN WHAT is meant by the import quota? What is a large import quota ? Is it:

1) Increased quantity is allowed to be imported OR
2) Increased restriction therefore less quantity can be imported?

Hellpp, thnks

 

[enigma_1]

bump

 

[BiasedBuffalo]

Riley's description is confusing - agreed.

In my understanding, a large import quota means a large amount of goods can be imported. A smaller import quota means fewer goods can be imported, and higher protection.

 

[OzKo]

When an author describes a relationship in that manner, they are not inferring that both phenomena coexist.

In this context, the reverse relationship is denoted in the parentheses.

 

[studybuddy101]

For HSC economics, the larger the import quota the greater the quantity of imports that is allowed. The smaller the import quota the lower the number of imports, a quota set to 0 is an embargo (or ban). Don't think of the quota as a restriction but as a quantity, think "the larger the quota the larger the quantity".

In terms of protection it follows the larger the number of imports the less the industry will be protected and vice versa