ECONOMICS
BARRIERS TO TRADE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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a tariff
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a quota
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an embargo
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None of the above
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Detailed explanation-1: -An embargo (from the Spanish embargo, meaning hindrance, obstruction, etc. in a general sense, a trading ban in trade terminology and literally “distraint” in juridic parlance) is the partial or complete prohibition of commerce and trade with a particular country/state or a group of countries.
Detailed explanation-2: -An embargo is a government restriction placed on the import or export of goods, services, currency, and other values to any other country or state.
Detailed explanation-3: -Example: A country might limit the amount of cars imported from other countries to 500, 000 per year. Trade embargoes forbid trade with another country. The government orders a complete ban on trade with another country.
Detailed explanation-4: -1 : an order of a government prohibiting the departure of commercial ships from its ports. 2 : a legal prohibition on commerce. 3 : stoppage, impediment; especially : prohibition.