an import quotas is a direct restriction on the quantity of some good that may be imported. the restriction is usually enforced by issuing licenses to some group of individuals or firm. for example, the united states has a quota on import of foreign cheese. the only firms allowed to import cheese are certain trading companies, each of which is allocated the right to import a maximum number of pounds of cheese each year; the size of each firm's quota is based on the amount of cheese it imported in the past.