1. Non-tariff Barriers to Imports
Session 9
Non-tariff Barriers to Imports

2. The Effect of an Import Quota under Competitive Condition (Small Importing Country)
Quota will increase the supply
Sd +Qq
Domestic price with quota
World Price
Quota
Domestic demand decreased by quota
Domestic supply increased by quota
Import with free trade

3. Gainers and Looser Increased Producer Surplus
Extended Effect of an Import Quota
Sd +Qq
Depends on how a nation allocate quota
Domestic price with quota
World Price
Deadweight Loss
Decreased Consumer Surplus

4. Ways to Allocate Import Licenses
1.Fixed Favoritism
The government simply assigns the licenses to firms (and/or individual) without competition, application or negotiation.
The importers can take an advantage by reselling the imports at the higher domestic price.
Sd +Qq

5. International Economics
03/12/61
2.Auction
The government sell import to licenses on a competitive to the highest bidders.
The importer and the government take the advantage from the import quota.
Sd +Qq
Aj.Noom Tel

6. The importer take the advantage from the import quota.
The government take the advantage from the import quota.

7. 3.Resource-using Procedures
The government sell import to licenses to the importer(s) on the basis of demonstrating need or worthiness; or on the basis of negotiation.
The selected importer take the advantage from the import quota.

8. When the License Also Charged
The importer take the advantage from the import quota.
The government take the advantage from the import quota.

9. When the Bribe Play Role
With bribe, the importer take the advantage from the import quota.
Bribe ( go to individual)

10. The Effect of an Import Quota under Competitive Condition (Large Importing Country)
Increased Producer Surplus
Extended Effect of an Import Quota
Sd +Qq
Quota will increase the supply
Domestic Price with quota policy
Initial World Price
Deadweight Loss
Decreased Consumer Surplus
World Price with quota policy
Quota

11. Gainer and Looser 1.Fixed Favoritism 2.Auction
3.Resource-using Procedures

12. Other Non-tariff Barriers
1. Voluntary Export Restraints (VERs)

13. Genetically Modified Organism
2. Product Standards
 Genetically Modified Organism

14. 3. Domestic Content Requirements

15. 4. Government Procurement