Inter
The ability of on country to produce a product at a lower opportunity cost than another country
comparative advantage
since 1971 foreign exchange rates in the US have been
flexible
tax placed on an imported product
tariff
a national government set the value of its currency in relation to other countries
fixed rate of exchange
goods sold to other countries
exports
Purpose of a protective tariff
raise prices on import goods to give domestic goods an advantage
the fall in the price of a currency through the action of supply and demand
depreciation
ability of a country to produce more output per unit of input than another country
absolute advantage
goods bought from other countries for domestic use
imports
lowering a currency's value in relation to other countries by government order
devaluation
ability of one country, using the same quantity of resources as another to produce a specific product at a lower cost is know as.
absolute advantage
idea that a nation should produce and export a limited number of goods for which it is particularly suited
specialization
regional trade agreement between US, Canada, Mexico
NAFTA
ability of a country to produce a product at a lower opportunity cost than another country
comparative advantage
Dickinson State
Blue Hawks
flexible exchange rates are determined by this
supply and demand
when forces of supply and demand are allowed to set the price of various currencies
flexible exchange rates
TAX ON IMPORTS USED PRIMARILY TO RAISE GOVERNMENT INCOME WITHOUT RESTRICTING imports
revenue tariff
restriction imposed on the number of units of a particular good that can be brought into a country
import quota
Boise State
Broncos
a tax on imports
tariff
markets that buy and sell foreign currency for business that want to import goods from other countries
foreign exchange markets
organization of European nations whose goal is to encourage a single market
European Union
international agency that offers monetary advice and provides loans to developing nations
International Monetary Fund (IMF)
Seattle University
RedHawks