economics - international trade - protectionist policies

tariff

tax on imports - makes imports more expensive

subsidies to domestic producers

government payments to firms to encourage domestic production, reduces cost of production for producers

embargoes

total ban on imported goods (can be imposed on certain goods e.g drugs)

quotas

physical limits placed on the level of imports coming into a country

administrative restrictions

when countries impose restrictions and ‘red tape’ such as health and safety requirements, making it difficult for foreign exporters to access a country’s market

voluntary export restraints

agreements between countries to limit trade in certain products to a specific quota

value of the currency can be reduced

raises the price of foreign imports and lowers the price of domestic exports

what does free trade mean

unrestricted international trade