Trade Vocabulary

What is a tax on imports?

• Protectionism
• Subsidy
• Import Quota
• Tariff

What is a method of preventing a foreign good/service from freely entering a nation?

• Protectionism
• Trade barrier
• Free Trade
• Alliance

What is a government payment that supports a business?

• Tariff
• Embargo
• Subsidy
• Import Quota

What is a limit on the amount of a good that can be imported?

• Subsidy
• Tariff
• Embargo
• Import Quota

What is the removal of barriers that could hinder the trade process?

• Protectionism
• Trade Barrier
• Free Trade
• Import Quota

What is a government payment that supports a business?

• Embargo
• Import Quota
• Subsidy
• Tariff

What is one reason some nations support protectionism?

• To protect jobs
• To increase foreign competition
• To decrease tariffs
• To decrease quotas
  To

What is one reason some nations support free trade?

• To increase tariffs
• To decrease tariffs
• To decrease foreign competition
• To focus on domestic production

What is a benefit of trade?

• More variety
• Better quality
• Specialization
• All of the above

Why would a nation impose a tariff?

• Increase competition
• Lower prices
• Protect local businesses
• None of the above