Imports would be lowered by \((\mathrm{LO5})\) a) tariffs only b) import quotas only c) both tariffs and import quotas d) neither tariffs nor import quotas

Tariffs are taxes imposed on imported goods, typically based on the value of the imported products or a specific amount per unit of the product. Import quotas, on the other hand, are restrictions on the quantity of specific products that can be imported into a country during a specified period, effectively limiting the number of imports.

If a government imposes a tariff on imported goods, the price of those goods will increase for domestic consumers. As a result, the demand for the imported products will decrease, leading to a reduction in imports. Therefore, tariffs can lower imports.

Import quotas directly limit the quantity of goods that can be imported during a specified period. By restricting the amount of certain goods being imported, import quotas can effectively reduce the import of those restricted items. Now we can analyze the options given based on our understanding of tariffs and import quotas: a) Tariffs only: As mentioned earlier, tariffs can decrease the demand for imported goods, leading to a reduction in imports. b) Import quotas only: Import quotas directly limit the quantity of imports, thereby reducing a country's total imports. c) Both tariffs and import quotas: Both of these policies can lead to a decrease in imports, as they increase the cost of or directly limit the number of imported goods. d) Neither tariffs nor import quotas: If there are no tariffs or import quotas in place, there is no direct influence on reducing imports.

Based on our analysis above, it is clear that answer (c) both tariffs and import quotas can both contribute to lowering imports.