Chapter

3.3. Barriers to Trade*

From IntroductionToBusiness OP 8D04gAa

Concepts

1. What are the benefits and concerns associated with globalization?

   "Economists say it leads to cheaper goods and services for U.S. consumers because costs are lower. Also, it should stimulate exports to fast-growing countries. No one knows how many jobs will be lost

2. What are natural barriers to international trade?

   "International trade is carried out by both businesses and governments—as long as no one puts up trade barriers. In general, trade barriers keep firms from selling to one another in foreign markets. T

3. How do tariff barriers affect international trade?

   "A tariff is a tax imposed by a nation on imported goods. It may be a charge per unit, such as per barrel of oil or per new car; it may be a percentage of the value of the goods, such as 5 percent of

4. What are nontariff barriers to international trade?

   "Governments also use other tools besides tariffs to restrict trade. One type of nontariff barrier is the import quota, or limits on the quantity of a certain good that can be imported. The goal of se