Business In a Global Global Economy
A noun is a word that functions as the name of some specific thing or set of things, such as living creatures, objects, places, actions, qualities, states of existence, or ideas.
Trade barriers
Proper nouns are the names of specific people or places. They should always begin with a capital letter.
Trade barriers include:
Embargo
A ban on the import or export of a product.
Quota
A limit placed on the quantities on a
product that can be imported.
Tariff
A tax placed on imports to increase
their price in the domestic market.
Trade barriers are used by governments to limit competition from other countries.
Free Trade
A concrete noun is a noun that can be identified through one of the five senses (taste, touch, sight, hearing, smell).
Free trade benefits:
consumers have more choices
in prices and quality of goods
competition, making businesses
more productive
creates new jobs
opens up new markets
Economic and foreign policy determine which countries trade with each other.
Free trade happens when there are few or no limits on trade between countries.
Protectionism
Possessive nouns are nouns which possess something, normally another noun.
Protectionism and free trade are two opposing points of view in trade disputes.
Protectionism is used by countries to limit competition from other countries.
Definition: The governments practice of putting limits
on foreign trade to protect businesses at home.
Currency
A noun which refers to a group of things/people.
Countries have to pay for products and services with currency. To trade with another country, businesses and countries must convert their money into that nation's currency. To do that, their currency is exchanged on the foreign exchange market.
Import VS. Export
A noun which cannot be identified by using one of the five senses (taste, touch, sight, hearing, smell).
Comparative advantage: it is the ability of a country to produce a particular good more efficiently than another country.
Balance of trade: it is the difference in value between a country’s imports and exports over a period of time.
Definition: Imports are the products that enter the country to be sold but exports are the products that leave the country to be sold somewhere else
Global Economy
Irregular nouns are nouns which don’t follow a spelling pattern when pluralized.
Multinational corporation: it is a company that does business in many countries and has the facilities and offices around the world
Globalization: It is the development of the global economy
Definition: The interconnected economies of the nations of the world.
