Chapter 16 Flashcards
1
Q
Exports
A
Goods and services produced domestically, but sold abroad
2
Q
Imports
A
Goods and services produced abroad, but sold domestically
3
Q
Infant Industry argument
A
the argument that a new industry in which a country has a comparative advantage might need protection from foreign competition in order to flourish
4
Q
Protectionism
A
The belief that a nations industries should be protected from foreign competition
5
Q
Quota
A
A limit on the physical quantity of imports
6
Q
Tariff
A
Tax on imports
7
Q
Terms of Trade
A
The ration at which a country can trade domestically produced products for foreign produced products
