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The US government wants to protect its domestic automobile industry from the growing Canadian automobile

industry. What action should US government take to address this issue and why?

By imposing a tariff on Canadian imports, the government can help lower the costs of production and increase profits for US

producers.

By imposing a tariff on Canadian imports, the government can improve the quality of US automobiles and decrease their cost

for consumers.

By imposing a quota on Canadian imports, the government can help lower prices for consumers and reduce demand for

Canadian automobiles.

By imposing a quota on Canadian imports, the government can help reduce competition domestically and increase demand

for US automobiles.

Respuesta :

Answer:

By imposing quota on Canadian imports, can reduce competition domestically and increase local demand.

Explanation:

An import quota is a type of trade restriction that sets a physical limit on the quantity of a good that can be imported into a country in a given period of time. Quotas, like other trade restrictions, are typically used to benefit the producers of a good in that economy

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