What are economic sanctions?

Economic sanctions are primarily restrictions imposed by countries on trade and other economic activities to influence or change specific behaviors of other nations or entities. These sanctions can take various forms, such as trade embargoes, asset freezes, or financial restrictions, with the goal of compelling a change in policy or behavior, often related to issues such as human rights violations, terrorism, or violations of international law.

In the context of international relations, economic sanctions serve as a non-military tool for countries to exert pressure. By limiting trade or access to resources, the imposing nation hopes to encourage compliance or discourage certain actions from the sanctioned party. This approach is often seen as a way to address international conflicts or issues without resorting to military intervention.

The other options describe different concepts that do not focus on the restrictive nature of economic sanctions. Incentives for foreign investments refer to benefits aimed at attracting businesses, cultural exchanges promote goodwill and understanding between nations, and policies ensuring free trade advocate for unrestricted international commerce, differing fundamentally from the concept of sanctions.