One of South Africa's significant trading partners is the European Union (EU). The EU is a major destination for South African exports and a source of imports, contributing significantly to South Africa's international trade.

2.1Explain how fluctuations of the EUR/ZAR exchange rates would have an impact on South Africa. Justify whether these impacts would have been different if EUR/ZAR exchange rate was fixed. (20)

2.2Describe the concept of a national autonomy and explain the relevance of this concept to South Africa, given its openness to trade with the EU. (15)

2.3Discuss any three trade barriers that can be implemented by South Africa if trade was to be restricted.