A country's government is worried that it has become too reliant on foreign goods. It wants to encourage its citizens to buy products made by domestic businesses. The government decides to set a strict limit on the total number of foreign imports per year. This is an example of which barrier to trade?

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DOYSTA

Answer:

Quotas

Explanation:

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A situation where the country imposes restrictions on the trade of foreign goods to promote domestic consumption is an example of quotas trade.

What are trade restrictions?

The restrictions on the trade activities by an authority(s) that has control over such functioning are known as trade restrictions.

In the above example, it is seen that the government has imposed quotas trade restrictions, indicating a lowered rate of imports and promotion of domestic production and consumption.

Hence, the aforementioned situation is an example of quotas trade restrictions.

Learn more about trade restrictions here:

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