free trade
Tariff-absent exchange
Free trade is commerce between countries without tariffs, quotas, or other government restrictions.
The term usually describes an economic policy or ideology favoring minimal barriers: a free trade agreement, free trade zones.
Advocates argue it increases efficiency and lowers prices; critics contend it can harm domestic industries and workers.
NAFTA created a free trade area among the US, Canada, and Mexico.
Lowest opportunity cost production
- specializationConcentrated expertise in one field
- economic integrationMerging separate national markets
- mercantilismTrade policy favoring exports
- laissez-faireNoninterference in commerce
neoliberalism · efficiency gains · price reduction · foreign investment · GDP growth · Ricardo · Adam Smith · invisible hand
Tax on traded goods
- importObtain from overseas
- exportForeign-bound sale
- protectionismShielding local producers
- WTOGlobal commerce regulator
GATT · customs union · NAFTA · USMCA · bilateral · multilateral · most-favored-nation · embargo
Things for sale
- commodityFungible traded good
- export controlsRestrictions on foreign sales
- supply chainProduct delivery infrastructure
- logisticsCoordination of complex activities
shipping · cross-border · commerce · manufacturing · outsourcing · offshoring · containerization · port
comparative advantage
Lowest opportunity cost production
- specializationConcentrated expertise in one field
- economic integrationMerging separate national markets
- mercantilismTrade policy favoring exports
laissez-faire · neoliberalism · efficiency gains · price reduction · foreign investment · GDP growth · Ricardo · Adam Smith · invisible hand
tariff
Tax on traded goods
- importObtain from overseas
- exportForeign-bound sale
- protectionismShielding local producers
WTO · GATT · customs union · NAFTA · USMCA · bilateral · multilateral · most-favored-nation · embargo · dumping
goods
Things for sale
- commodityFungible traded good
- export controlsRestrictions on foreign sales
- supply chainProduct delivery infrastructure
logistics · shipping · cross-border · commerce · manufacturing · outsourcing · offshoring · containerization · port · customs clearance
tax haven
Zero-rate wealth jurisdiction
- capitalismcapitalism, private property, profit motive, supply and demand, invisible hand
- tradecustoms, commerce, export, exports, quotas
- economic policymonetary policy, tax policy, fiscal discipline, fiscal stimulus, fiscal restraint
- enlightenmentVoltaire, Rousseau, Locke, Kant, Montesquieu
- free marketslaissez-faire, market economy, capitalism, privatization, invisible hand
- Liberalismindividual liberty, individual rights, civil liberties, classical liberalism, limited government
free tradeprotectionism
Shielding local producers
trade barriers · tariffs · trade restrictions · trade embargo · customs duties
free tradeprotectionism
Shielding local producers
mercantilism · autarky · economic nationalism · command economy · import substitution
free, trade, freedom, freely, trader, trading, traded, unrestricted, traders