Global Economics Test Review - Ellis

Front

When a country can produce more of a product than another country

Back

Absolute advantage

Front

When a country can produce a product at a lower opportunity cost

Back

Comparative advantage

Front

The sacrifice of the next best alternative

Back

Opportunity cost

Front

A tax on imported goods

Back

Tariff

Front

People who prefer no, or few, trade restrictions

Back

Free traders

Front

People who favor trade barriers to protect domestic industries

Back

Protectionists

Front

The price of one country's currency in terms of another country's currency

Back

Foreign exchange rate

Front

A government order that restricts or prohibits trade completely.

Back

Embargo

Front

When countries sell their resources, materials, and goods they produce to another country.

Back

Exports

Front

When countries buy resources, materials, and goods from another country.

Back

Imports