What are trade barriers?

Trade barriers refer to government-imposed restrictions that limit or control the flow of goods and services between countries. These restrictions can take various forms, such as tariffs, quotas, and import licenses, with the purpose of protecting domestic industries from foreign competition, regulating the quality of foreign products, or generating government revenue. By imposing these barriers, governments can influence trade patterns and potentially affect the economy by shielding local businesses from international competition, although such measures may also lead to trade disputes or retaliation from other countries.

The other choices present different concepts related to trade but do not accurately define trade barriers. A voluntary agreement to limit trade, while relevant in international trade discussions, does not constitute a barrier imposed by government regulation. Taxes on foreign goods are indeed a type of trade barrier, namely tariffs, but they represent only a specific category of trade barriers rather than encompassing the broader concept. Lastly, a standard policy for international shipping refers to logistical guidelines and does not pertain to restrictions on trade.