Question

Which of the following scenarios is an example of a trade sanction?
A.
The United Kingdom places a cap on immigration.
B.
Australia hosts the Summer Olympics.
C.
The United States purchases foreign oil to compensate for the country's limited supply.
D.
The EU refuses to import diamonds from Sierra Leone due to human rights violations.

Answer 1

D. The EU refusing to import diamonds from Sierra Leone as a response to human rights violations is a trade sanction — it's a punitive restriction on trade to influence behavior.