Globalization & International Trade

A free-trade zone means:

• You don't have to pay money to get items.
• There are no tariffs between the countries in this zone.
• Trade happens less often.
• Trade does not happen.

A limit placed on the number of goods brought into a country is a

• tariff
• quota
• embargo
• tax

A government order to stop trade with another country is called a(n)

• tariff
• quota
• embargo
• currency

A tax on imports is called a(n):

• tariff
• quota
• embargo
• currency

Which is an example of a tariff?

• Japan is allowed to send as many electronic products to the U.S. as they want.

• The U.S. freely trades with other countries with no restrictions.

• A high tax is placed on all diamonds received from Africa.

• The US limits how much cloth it exports to other countries to avoid an official restriction.

Which is an example of a quota?

• The U.S. stops trade with China.

• The U.S. limits the amount of foreign cars brought into our country.

• The U.S. pays a high tax on BMW cars brought into the country.

• Foreign cars need to meet certain criteria for gas mileage and emissions.

Rules used to try to limit trade with other countries

• embargo

• tariff

• trade barriers

• quota

Goods and services brought in from other countries

• supply

• exports

• imports

• tariff

Goods and services a country produces and sells to other countries

• imports

• exports

• demand

• supply

An embargo is usually placed against a country for ____________ reasons. This action will hurt the country economically.

• selfish

• political

• secret

• friendly