What are trade barriers?

• A. Tariffs and taxes on local businesses
• B. Government-imposed restrictions on international trade
• C. Agreements between nations to enhance trade
• D. Unregulated market conditions

Answer: (B)

Trade barriers refer to the various government-imposed restrictions that countries apply to regulate international trade. These barriers often take the form of policies that can limit, restrict, or control the import and export of goods and services between countries. By implementing such restrictions, governments can protect domestic industries from foreign competition, control the flow of goods into the country, and influence trade balance. This can include tariffs, quotas, and licensing requirements, among others.

In the context of the options provided, the concept of trade barriers directly aligns with the definition of government-imposed restrictions on international trade, making this the correct choice. Understanding trade barriers is crucial for analyzing how countries interact economically and the effects of these restrictions on global trade dynamics.