Economic Terms

trade without barriers or conditions

• voluntary trade

• sanction

• Gross Domestic Product (GDP)

• natural resources

When a country produces what they can make most efficiently, so they can trade for what they can't make

• specialization

• human capital

• voluntary trade

• natural resources

Mountains, rivers, deserts, etc. that can block trade between people or countries

• voluntary trade

• capital goods

• natural trade barriers

• quota

a limit on an item that can be imported

• human capital

• quota

• specialization

• literacy rate

a tax on an item that is imported

• tariff

• quota

• Gross Domestic Product (GDP)

• literacy rate

this are created for political reasons to slow down trade: tariff, quota, embargo

• capital goods

• voluntary trade

• political trade barriers

• entrepreneurship

The percentage of a country's people who can read and write

• voluntary trade

• entrepreneurship

• human capital

• literacy rate

sun, wind, water, oceans, rivers, gifts of nature, and mineral resources available in an area

• subsidy

• natural resources

• embargo

• quota

these are the "tools" used to produce: tools, equipment, buildings, machinery, factories

• subsidy

• voluntary trade

• political trade barriers

• capital goods

the knowledge and skills a worker gains through education and experience

• voluntary trade

• human capital

• natural resources

• political trade barriers