People sometimes argue that imports should be limited by government policy. Suppose a government quota on the quantity imports causes net exports to...

People sometimes argue that imports should be limited by government policy. Suppose a government quota on the quantity imports causes net exports to rise. Using the circular flow diagram as a guide, explain why expenditures total and national output may rise after the quota is imposed. Who is likely to benefit from the quota? Who will be hurt?

The success of every nation depends on the flow of Import and export done by any nation during afinancial year. The economist handles the value of import and export to be done between one or more...