Fill in the gaps with the appropriate prepositions and word combinations (on, such as, of, in to, from, by, during, for, with, due to, both, though)

Tariffs and quotas are methods (1) ____ restricting imports. Non-tariff barriers, (2) _____ regulations (3) _____ labelling, packaging, and testing, also restrict imports. (4) _____ rare occasions, exports may be taxed or prohibited when the authorities believe that it is (5) _____ the best interest of the country to do so.

(6) _____ order to reduce trade barriers, nations negotiate mutual concessions (7) _____ bilateral or multilateral trade negotiations. When a nation grants a tariff reduction or other trade concession (8)_____ imports (9) _____ a good (10) _____ one country through these negotiations, it automatically extends the concession (11)_____ all other countries (12)_____ whom it extends most-favoured nation treatment.

The only protectionist argument which has received limited approval (13)_____ most economists is the infant industry argument. This argument holds that a country which has the resource endowment (14)_____ a particular industry to be efficient can justifiably protect that industry (15)_____ foreign competition (16)_____ the industry’s early growth period. The assumption is that import restrictions will be removed when the industry matures. This argument may have validity (17)_____ underdeveloped nations but generally has little application (18)_____ developed economies.

Specialization according (19)_____ absolute or comparative advantage means that resources are employed efficiently and total world output increases. Specialization may be complete, especially (20)_____ smaller countries (21)_____ a limited variety (22)_____ resources. But most often specialization is limited. Countries (23)_____ produce and import a specific item. The reason they do not produce enough (24)_____ their needs, even (25)_____ they are capable (26)_____ producing the item, is because (27)_____ increasing costs. Increasing the output (28)_____ the industry would raise costs (29)_____ a limited supply (30)_____ factor inputs. It is resource availability that determines the nature and extent (31)_____ specialization.