Economics Week 31 Import Quotas

Prompt:  “Do import quotas benefit most voters economically?”

Import quotas limit the amount of imported goods legally aloud to be shipped from one nation to the next. The main reason for these is international competition. If a nation outside ours is able to produce higher quality goods for cheaper they are in direct competition with the in nation producers. People will be more likely to buy the goods from outside their country, since they can buy better quality items for less money. But this takes business away from the producers within the country.

The producers in the country work with politicians to create import quotas, making it illegal for citizens to buy more than a certain amount of product from other nations. This is good for the in nation producers business, but limiting to the economy as a whole. Trade benefits the economy. The producer gets richer in money, and the consumer gets richer in goods. Import quotas limit this growth because of international competition, and overall do not benefit most voters economically.