Final answer:
Import quotas are the correct answer to the question, serving as numerical limitations on imports. Alongside tariffs and nontariff barriers, quotas are used by nations to protect domestic industries from foreign competition, influencing international trade and the domestic economy.
Step-by-step explanation:
Import quotas are numerical limitations on the quantity of products that can be imported. They are one of three tools used to restrict trade, the others being tariffs and nontariff barriers. These tools are part of a country's protectionist policy, which can raise domestic prices for certain goods, causing consumers to pay more, while domestic producers may see increased earnings due to reduced competition from abroad.
Nontariff barriers, on the other hand, include all other ways a nation can make it costly or difficult to import products, such as stringent rules, regulations, inspections, and paperwork. Rules-of-origin regulations, for instance, dictate where a product is considered to originate based on the last substantial change in production. Protectionism, whether through import quotas, tariffs, or nontariff barriers, affects international trade and can have significant impacts on jobs, wages, and working conditions.