Voluntary Trade in Europe

___________________ occurs when different countries choose to engage in the exchange of goods with one another.

• Crimes

• Specialization

• Voluntary Trade

• Tariffs

Voluntary trade is good because...

• it lets a country sell its own

  resources and buy the resources it doesn't have

• it allows countries to take over resources

• it allows countries to monopolize goods and services

• It isn't a good thing

__________________ is when a country focuses on what resources they have and services that they do best.

• Voluntary Trade

• Specialization

• Bartering

• Trade Barriers

Trade barriers are natural or man-made obstacles to voluntary trade.

• True

• False

_________________ barriers are policies passed by a government to regulate trade.

• Natural Trade

• Political Trade

__________________ barriers include mountain ranges, deserts, rainforests, or lack of access to bodies of water.

• Natural

• Political

Trade barriers are used to restrict trade because they

want to produce their own goods and sell them in their own country

• True

• False

____________________ are taxes placed on imported

goods.

• Quotas

• Tariffs

• Trade embargoes

• Trade barriers

Tariffs are used to protect a country’s own businesses from _____________________

• domestic competition

• foreign competition

• other business owners close by

• the government

Tariffs make imported goods more expensive, encouraging the country’s consumers to buy domestic products.

• True

• False