Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
11 Cards in this Set
- Front
- Back
Chapter 3
|
International Trade
|
|
Exports
|
Produced domestically and sold to foreign consumers
|
|
Imports
|
Produced by Foreign producers and consumed by domestic consumers
|
|
Formula for Net Exports
|
Net Exports= Exports-Imports
|
|
Trade Deficit
|
Imports> Exports
|
|
Trade Surplus
|
Exports>Imports
|
|
Trade Barriers
|
Restricts international trade
|
|
Tariffs
|
A tax on an imported good
|
|
Quota
|
A limit on the amount of goods imported
|
|
Absolute advantage
|
The ability of one party to produce a greater amount of an output than another party.
|
|
Comparative advantage
|
The ability of one party to produce an output at a lower opportunity cost than another party.
|