Italy has a direct restriction on the amount of metal products that may be imported into the country. Which instrument of trade policy does this reflect?

The instrument of trade policy used by Italy is called "QUOTA"

Explanations: Quota is a direct restriction from the government of a country on the total number or quantity of a particular good or service that can only be imported into the country a specified period of time. This helps to regulate to total amount of goods that can be supplied to the country, in other to regulate the price of such goods.

Because Italy has a direct restrictions on the amount of metal product that may be imported into the country, the government is using a Quota in it's style of trade policy on metal importations, in other to keep a bench mark on the price of the goods in the country.

The instrument of trade that this reflects is known as QUOTA.

Explanation: Quota in economics refers to the restriction on the IMPORT of something to a specific quantity.

It is the limited quantity of a particular product which under official controls can be produced, exported, or imported.

Quota is used in international trade to help regulate the volume of trade between countries.

The major benefit of quota is reducing imports, thereby helping domestic suppliers.

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