Question

Which result would you expect from a u.s. import quota on automobiles??

Answer 1

Automobiles would cost more money because the companies that produce them could only import a certain amount in a certain amount of time so the demand of them would increase thus increasing the cost.

Answer 2

Higher Automobile price for US customers

Step-by-step explanation:

Import quotas mean limiting the supply of a specific products. Import quotas directly affect the availability of the commodities imported from the foreign countries. The imposition of import quota restricts the availability of a particular product in the home market and leads to shortage of that product and rise in the price. It is also use to decrease the competition for the domestic products and industries.