If the importation of a commodity is limited to a definite quantity, the trade control measure imposed is

Answer Details

If the importation of a commodity is limited to a definite quantity, the trade control measure imposed is called a quota. This means that only a specified amount of the commodity can be imported into the country within a given period. A quota is a tool used by governments to control the amount of foreign goods that enter the domestic market, and it is a type of non-tariff barrier to trade. Unlike an import duty or tariff, which is a tax on imported goods, a quota sets a limit on the quantity of the imported goods. This can be used to protect domestic industries from foreign competition or to control the balance of trade.