International Economics

Front

The ability of one person or nation to produce more of a good than another person or nation

Back

Absolute advantage

Front

The use of trade barriers to protect a nation’s industries from foreign competition

Back

Protectionism

Front

Exports minus imports or how many goods a country exports versus imports

Back

Balance of Trade

Front

A regional trade organization made up of European nations: NAFTA, EU, ASEAN, CARICOM

Back

EU

Front

Agreement that will eliminate all tariffs and other trade barriers between Canada, Mexico, and the US

Back

NAFTA

Front

Limit of the amount of a good that can be imported

Back

Quota

Front

A good that is sent to another country for sale

Back

export

Front

An increase in the value of a currency

Back

apprecation

Front

Government payments to a local supplier to reduce the supplier costs. This helps local businesses survive because it is getting direct aid from the government.

Back

subsidy

Front

Measure the price of one nation’s currency in terms of another nation’s currency

Back

exchange rate