INTERNATIONAL ECONOMICS

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

• Comparative Advantage
• Absolute advantage
• exports
• protectionism 

A regional trade organization made up of European nations

• NAFTA
• EU
• ASEAN
• CARICOM

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

• NAFTA
• EU
• ASEAN
• CARICOM

Limit of the amount of a good that can be imported

• Subsidy
• Quota
• Exports
• Appreciation 

A good that is sent to another country for sale

• export
• import
• quota
• subsidy 

When a nation imports more than it exports, economists say it has which of the following?

• A trade surplus
• A balance of trade
• A trade deficit
• A national difference

 The US bans beef imports from Canada after a Mad Cow Disease outbreak there. This is an example of which type of barrier to trade?

• Standards
• Quota
• Subsidy
• Tariff

What is an official ban on trade or other commercial activity with a particular country?

• Tariff
• Product standard
• Embargo
• Quota

All of these restrict international trade EXCEPT

• quotas
• subsidies
• embargoes
• trade deficits

Which statement BEST reflects the difference between tariffs and quotas?

• Tariffs raise prices on exports, while quotas set limits on imports.
• Tariffs raise prices on imports, while quotas set limits on exports.
• Tariffs raise prices on exports, while quotas set limits on exports.
• Tariffs raise prices on imports, while quotas set limits on imports.