What might happen to a country that has a trade embargo placed on it? • A) Its economy grows rapidly.
• B) Its level of unemployment declines.
• C) Its becomes more self-sufficient.
• D) It has increased immigration.

C. It becomes more self-sufficient.

Explanation:

A "trade embargo" refers to the official banning of trade, both imports and exports of goods and services, in a country. This means that the restricted country will not be allowed to import nor export products and services with another country.

This kind of situation puts a strain on the country's economic situation. Its economy spirals down which means many people will lose their jobs; so the level of unemployment will definitely decrease. People will not be eager to settle permanently into such country; thus, immigration will decrease. In order to cope with the situation, the country will try to become more self-sufficient. It will try to produce the necessary goods and services on its own in order to keep the economy thriving. One common example of this is the country of North Korea which follows a"closed economy."

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