What is an embargo?

An embargo is an action authorized to restrict the movement of goods, typically imposed by a government or supranational organization to achieve specific political or economic objectives. It often aims to exert pressure on a particular country, organization, or group to change its behavior, for instance, in cases of conflict, human rights violations, or violations of international laws. Embargoes can restrict exports, imports, or other specific goods and services, thereby impacting trade relationships significantly.

In this context, the other choices do not accurately capture the essence of an embargo. A tax on imports primarily relates to tariffs and doesn't imply a restriction itself but rather a financial charge on goods coming into a country. A law regulating trade agreements refers to legal frameworks governing international commerce but does not encompass the specific action of restricting goods. A ban on foreign investments focuses on monetary assets and investment flows rather than the physical movement of goods, making it separate from the definition of an embargo.