Business Law environment essay

1. ad valorem tariff

a tariff computed as a percentage of value

2. allocated quotas

a quota applied to the products of several nations

3. auctioned quota

a quota that is sold to the highest bidder

4. bilateral quotas

a quota placed on a particular product on the basis of its country of origin

5. embargo

a complete ban on trade with a certain foreign nation or a ban on the sale or transfer of specific products

6. global quotas

a quota imposed by an importing nation on a particular product regardless of its country of origin

7. most-favored-nation (MFN) trade

an arrangement in which the lower tariff rates that are negotiated with one nation are automatically applied to similar imported products from all nations who sign an MFN agreement with each other — without any concession being requested in return

8. national treatment

the GATT provisions that are intended to ensure that imported products will not be subjected to discriminatory treatment under the laws of the importing nation

9. non-tariff barrier

an impediment to trade other than tariffs

10. nondiscrimination

the principle that all nations should be treated equally and without discrimination

11. normal trade relations

an arrangement in which the lower tariff rates that are negotiated with one nation are automatically applied to similar imported products from all nations who sign a most-favored-nation (MFN) agreement with each other — without any concession being requested in return; also formerly referred to as most-favored-nation (MFN) trade

12. quota

a quantitative restriction on imports

13. tariff bindings

a concession in which the tariff on a product, a product category, or a group of products is bound, or capped, at a certain rate

14. tariff concession

a situation where one country promises another country or countries not to levy a tariff on imports of a given product at a level higher than agreed upon in return for tariff concessions from those countries

15. tariff or import duty

a tax levied on goods by the country of importation

16. tariff schedules

the detailed product-by-product listings of all tariffs for a country

17. tariff-rate quota

a tariff that increases according to the quantity of goods imported

18. tariffication

the process by which quotas, licensing schemes, and other non-tariff barriers to trade are “converted” to tariffs

19. trade barrier

an impediment to trade in goods or services

20. transparency

a foreign government’s import regulations are made readily available to the public and not hidden or disguised in bureaucratic rules or practices