Ch.37- Free trade and protection Flashcards
1
Q
Globalisation
A
The process by which the world is becoming increasingly interconnected through trade and other links
2
Q
Quota
A
A limit placed on imports or exports
3
Q
Tariff
A
A tax that’s place on imported products
4
Q
Embargo
A
A ban on imports or exports
5
Q
Exchange control
A
A limit on the amount of foreign currency that can be obtained
6
Q
Voluntary export restraints (VERs)
A
Agreements with other governments to restrict their exports to the country
7
Q
Infant industries
A
New industries with relatively low output and high cost
8
Q
Declining industries
A
Old industries which are going out of business
9
Q
Strategic industries
A
Industries that are considered important for the survival or development of the country
10
Q
Dumping
A
Selling products in a foreign market at a price below the cost of production
