Countries create quotas and tariffs to increase the volume of trade with their neighbors.
a. true
b. false

False tariffs usually do not increase trade with neighbors.

 b. False

Explanation:

Quotas refer to a type of  trade restriction that limit the number of goods and services that can be imported into a country in a given period of time. This is done in order to reduce imports and increase local or domestic production or industries.

Tariffs are taxes imposed on imported goods and services. Tariffs are imposed on imported goods in order to encourage local industries.

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