KEY TERMS

trade policy

import tariff

import quota

export subsidy

dumping

safeguard provision

escape clause

regional trade agreements

free-trade areas

customs unions

consumer surplus

producer surplus

small country

import demand curve

deadweight loss

production loss

consumption loss

dispute settlement procedure

tariff war

discriminatory tariff

large country

terms of trade

terms-of-trade gain

optimal tariff

Multifibre Arrangement (MFA)

equivalent import tariff

quota rents

quota licenses

rent seeking

“voluntary” export restraint (VER)

“voluntary” restraint agreement (VRA)