International Trade

The price of one nation's currency in terms of another nation's currency is called

• exchange rate

• discount rate

legal limit on the amount of a good that can be imported into a country.

• quota

• embargo

taxes on the import or export of goods from a country

• embargo

• tariff

Countries around the world specialize production, and trade with other countries based upon

• amount of capital available to produce with

• comparative advantage in production

When a country experiences a depreciation of its currency, it can expect which of these to happen?

• balance of trade to improve

• balance of trade to worsen