Question

Economic Sanctions are government mandated limitations placed on air travel to an imposing nation.

true or false

Answer 1

The above statement is FALSE.

Economic sanctions cover a wide range of restrictions including travel bans.

There are two basic kinds of economic sanctions: trade sanctions and financial sanctions.

(a) Trade Sanctions - Trade sanctions restrict imports and exports to and from the target country. These restrictions can be comprehensive, as in the case of Iraq, or they can be selective, only restricting certain goods often connected with a trade dispute.

(b) Financial sanctions - Financial sanctions address monetary issues. They can include blocking government assets held abroad, limiting access to financial markets and restricting loans and credits, restricting international transfer payments and restricting the sale and trade of property abroad. The freezing of development aid also falls into this category. There is substantial overlap between financial and trade sanctions, especially when applied comprehensively, since with their foreign assets frozen and access to new funds blocked, Governments will be unable to pay for imports, and trade will suffer.

In USA, Economic Sanctions are an integral part of the peaceful measures that the country can take to deter states from supporting terrorism. U.S. law permits a wide range of economic sanctions by the executive branch against the countries involved in international terrorism. These include terminating assistance and arms sales, imposing export & import controls, suspending Eimbank credit, prohibiting financial transactions, trade restrictions, aviation restrictions etc.

One of the U.S.'s longest-standing and most well-known sanctions is against one of its neighbors to the south, Cuba. In February 1959, Fidel Castro became Prime Minister of Cuba, unseating a post-revolution Cuban government that was favored by the United States. Since the Cuban dictator took power, the U.S. has had trade embargoes in place as a punishment. Since then, Americans aren't generally allowed to trade or travel with Cuban interests, with certain exceptions on humanitarian grounds.