Unit 7: International Economics

Voluntary exchange of goods or services is called a(n)…

• Tariff

• Trade

• Quota

• Embargo

Restriction to regulate international commerce is called a(n)…

• Trade

• Subsidy

• Trade Barrier

• Free Trade

A tax on imported goods and usually designed to protect domestic production of similar goods is

• Tariff

• Quota

• Embargo

• Subsidy

A _____________________ is a type of protectionist trade restriction that sets a physical limit on the quantity of a good that can be imported into a country in a given period of time.

• Trade

• Trade Barrier

• Tariff

• Quota

A(n) ________________________ is a process of prohibiting commerce and trade with another country.

• Absolute Advantage

• Embargo

• Tariff

• Comparative Advantage

An agreement to reduce tariffs between the United States, Mexico, and Canada is known as

• NAFTA

• European Union

• ASEAN

• Protectionist Movement

A political and economic organization of 10 countries in Asia is often abbreviated to what term?

• NAFTA

• EU

• ASEAN

• TRADERS

The practice of goods being traded between countries without any tariffs that might slow down trade is known as ____________________.

• Barriers

• Embargos

• Restriction

• Free Trade

________________________ is the ability of a nation or region to produce more of a certain product.

• Comparative Advantage

• Capital

• Absolute Advantage

• Factors of Production

When the government spends more money than it is taking in as revenue, this is known as …

• Deficit Spending

• Surplus Spending

• Transition

• Equilibrium