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Question
limiting foreign trade
scenario: country w has placed a trade embargo on country l because they are not seeing eye to eye on global political issues. as a result of this embargo, country l is having difficulties receiving the metals needed to continue production of their famously reliable cars.
answer the following question according to the information presented in the scenario. by creating an embargo, country w is creating a(n)
the embargo will cause country ls productivity to
punishment
incentive
A trade embargo is a form of punishment where one country restricts trade with another. In this case, Country W restricts trade with Country L due to political differences, causing production - related difficulties for Country L. An incentive is something that encourages action, which an embargo is not.
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punishment