A quota is not a tax on an imported product. The correct answer is False.
A quota is a limit set by a government on the quantity of a specific product that can be imported into a country. It restricts the amount of goods that can be brought in, but it does not involve any direct taxation. On the other hand, a tax on imported goods is known as a tariff, which is a different trade barrier altogether.
In summary, while both quotas and tariffs are tools used to control imports, they function differently. A quota limits the quantity, whereas a tariff imposes a tax on the imported goods.