Occurs when producers decide to produce only certain goods and services
What is specialization?
100
A self imposed limitation on the number of products shipped to a particular country
What is a volunatary export restraint?
100
around 17 trillion dollars
What is the current US deficit?
100
One of the arguments for protectionism that says workers in industries that would be hurt by foreign competition need protecting
What is protecting jobs?
100
It makes American goods and services more expensive for foreign consumers
What is a strong dollar?
200
The ability to produce more of a given product using a given amount of resources
What is absolute advantage?
200
A cycle of increasing trade barriers
What is a trade war?
200
7.2%
What is the current unemployment rate?
200
One of the arguments for free trade that says certain industries claim trade protection when in fact their products are not essential to national security at all
What is safeguarding national security?
200
It enables you to convert prices in one currency to prices in another currency
What is an exchange rate?
300
Betty produces 6 batches of brownies per hour and Tom produces 1 batch of brownies per hour
What is absolute advantage?
300
It has three common forms: import quotas, voluntary export restraints, and tariffs.
What is a trade barrier?
300
when the economic activity in an economy is on the decline
What is a recession?
300
The 3 reasons a country imposes trade barriers
What are protecting workers' jobs, protecting infant industries, and safeguarding national security?
300
It consists of about 2000 banks and other financial institutions that facilitate the buying and selling of foreign currencies
What is the foreign exchange market?
400
The nation with this should specialize in producing that good
What is comparative advantage?
400
The country of MaryAnnia limits the anual amount of brownies coming into the country from other nations
What is an import quota?
400
World's largest importer
What is the United States?
400
Argument side that says that infant industries will become inefficient with too much protection
What is free trade?
400
A currency system that allows the exchange rate to be determined by supply and demand
What is a flexible exchange rate system?
500
To determine comparative advantage, you should look at this.
What is opportunity cost?
500
Leichtenstein (a country) put a self imposed limitation on a number of chocolate chips that they shipped to the US.
What is a voluntary export restraint?
500
owner of over 8% of the US total debt load
What is China?
500
A textile industry that was founded only two years ago
What is an infant industry?
500
A currency system in which governments try to keep the values of their currencies constant against one another