ECONOMICS
TRADE EXCHANGE AND INTERDEPENDENCE
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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a natural, geographic block to trade
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something that encourages free trade
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anything that restricts the amount of trade
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a location where international trade takes place
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Detailed explanation-1: -A trade barrier refers to any regulation or policy that restricts international trade, especially tariffs, quotas, licences etc.
Detailed explanation-2: -Quotas are types of trade barriers that restrict how much of a product can be imported into a country.
Detailed explanation-3: -Sometimes referred to as “red tape, ” these barriers typically include quotas, boycotts, licences, standards and heavy regulations, local content requirements, restrictions on foreign investment, domestic government purchasing policies, exchange controls and subsidies.
Detailed explanation-4: -The main types of trade barriers used by countries seeking a protectionist policy or as a form of retaliatory trade barriers are subsidies, standardization, tariffs, quotas, and licenses.