Trade Flashcards
Name three UN sustainable goals:
No hunger
No poverty
Clean water
Good education
Absolute Advantage
Ad advantage in the amount of goods that you have
Comparative advantage
An advantage in the amount of resources that you need in comparison to another country
Free TRade
Trade is fully unlimited
Protectionism
Restricting trade imports
Shielding domestic industries from foreign competition by reducing imports from abroad
Tarif
A tax used to affect international imports and exports
Revenue tariff
Tax on imports primarily to raise giv revenue without restricting imports
Protective imports
Tax on imports that are used to raise the cost of imported goods
Imports quota
Restriction imposed on the number of units of particular goods that can be brought into the country
Embargo
A complete restriction on the import or export of a particular good
Subsidy
Govt helps an industry compete with foreign goods by supplying them with money
Stage 1 : Primitive equilibrium
A society that performs like a traditional economy and they only make enough for themselves
Hunter gatherer
Stage 2 : transition stage
Cultural change than economic change and questioning their traditional values ad begin to experiment with new ideas
Europe in the Middle Ages (crusaders )
Stage 3: take off stage
New industries are formed and agriculture reforms lead to increased productivity
Profits are re invested into more businesses and agriculture
Industrial Revolution
Stage 4 : semi development
Industry and advanced tech is widespread
International trade is an important part of the economy
Money is spent on infrastructure such as schools, education, and healthcare
