Question

I WILL FAN AND MEDAL
Import Quota: The U.S. government limits automobile imports to a total of 4 million vehicles per year.
who will this hurt?
who will this benefit?

Answer 1

When we impose quotas we restrict the number that is allowed to be purchased from abroad. If we are importing the good, it is because the good is being sold at a lower price abroad then domestically. So if we limit this, we restrict access to the low priced foreign goods. As a result US consumers are hurt, and producers (both US and foreign) benefit from the new policy.