| A | B |
|---|
| tariff | tax on trade goods |
| quota | limit on the number of inports |
| embargo | elimination of a trade item |
| export | good or service leaving a country |
| import | good or service entering a country |
| complementary trade flow | based on differences in preferences |
| NAFTA | Canada, US and Mexico |
| FTAA | trade agreement with western hemisphere nations |
| multinational | produces in many nations |
| global product | assembled with inputs from different countries |
| United Nations | International Code of Conduct for Multinationals |
| fixed exchange rate | currency set to the curriences of other nations |
| floating exchange rate | prices of currencies set by supply and demand |
| managed float | currency value set by supply/demand with national bank intervention |
| specialization | concentration on the production of one good or service |
| comparative advantage | that which has the lowest opportunity cost |
| absolute advantage | that which can be produced with the least resources |
| protectionism | the absense of free trade |
| free trade | the absense of trade restrictions |
| NTB | non-obvious trade barriers |
| VER | action taken to stop more severe action |
| WTO | largest organization to promote trade |
| EU | association of 15 European nations |
| Euro | Currency for 11 European nations after 1/1/02 |
| punitive tariff | designed to punish through taxes |
| protectionist tariff | save jobs in a nation |
| bilateral trade agreement | involving two nations |
| multilateral trade agreement | involving three or more nations |
| globilization | expansion of world trade and interdependence |
| dumping | selling at lower prices abroad than at home |
| predatory pricing | very low prices to drive others out of a market |
| Most Favored Nation Status | special trade provisions for another nation |
| strong dollar | preferred by importers |
| weak dollars | preferred by exporters |
| OPEC | cartel of petroleum producers |
| Asian Tigers | nations of very rapid economic growth |
| ZPG | births and deaths balance |
| World Bank | distributes funds to developing nations |
