Types of

Trade
Protection
1. Tariff – This is a tax on imported
products.
Two types of Tariff

1. “unit” or specific tariff is a tax

levied as a fixed charge for each
unit of good that is imported
2. “Ad Valorem” tariff is levied as a
proportion of the value of imported
goods.
2. Quota – This is a fixed limited
placed on the quantity of imports
allowed into a country.
3. Government Regulation – These
are forms of protections arising from
health and safety standards and
preservation of environment.
4. Exchange Controls – The Bangko
Sentral ng Pilipinas restricts the sale
of dollors (and other forms of
currency) to importers.
Foreign Exchange
Market
 A foreign exchange market is the
organizational framework where in
individuals, businesses, and banks
buy and sell foreign exchange.
 The foreign exchange market for the
Philippine peso is located in places
where there are Filipino and where
trading occurs.
 The main function of foreign
exchange is to transfer funds of
purchasing power from the
Philippines to other countries or vice
versa.