USA Test Prep ECON International Econ – Flashcards

What is one way that a negative trade balance can be converted into a $0 balance of payments?

You and two of your friends decide to open an e-business selling a product online. Instead of all three partners creating the product, you each specialize in one aspect of the business. This is MOST reflects the concept of

Which result would you expect from a U.S. import quota on automobiles?

When the dollar "rises" compared to other currencies, this means

The title of this article contains the term "trade barriers," which could refer to which of these?

One of the PRIMARY reasons that trade between nations takes place is because

Which factor would be LEAST LIKELY to be included in a measurement of the efficiency of trade between African nations?

The nation of Tupalow is outraged that the Republic of Za has repeatedly violated international human rights laws. As a result, Tupalow has decided not to export goods to or import goods from Za. What is such an action called?

All of these restrict international trade EXCEPT

Why do three currencies represent 80% of the foreign exchange (FX) market trades?

In addition to creating jobs and obtaining scarce resources, why do countries trade with one another?

If the demand for British pounds increases,

An import quota is a

Country X and Country Y are the same size in terms of population, area, and capital stock. If both countries devote all of their efforts to producing widgets, Country X can produce 10 million widgets, while Country Y can produce 5 million. Based on the information given, Country X has

If the real interest rates increase in the United States but do not change in Europe, the effect that this will have in the currency exchange market between the Dollar and the Euro will be ______.

What MIGHT be a solution to unequal development applied by ASEAN, according to Vision 2020?

Country X can produce 1,000 units of food and 2,000 units of clothes. Country Y can produce 1,000 units of food and 1,000 units of clothes. In order to maximize trade according to the principles of comparative advantage,

States like Georgia and Texas are trading partners with trading blocs such as ASEAN, the Association of Southeast Asian Nations. Why are these states such strong trading partners with ASEAN?

If the price of buying a foreign car in the U.S. rises as the passage suggests, which of these might balance the trade deficit?

Canada is located to the north of the United States. Due to its shared border, the US and Canada, along with Mexico, entered into a trade agreement known as

National defense, protecting emerging industries, protecting domestic jobs, and keep money at home are MOST LIKELY arguments in favor of

Historically, why has the United States restricted trade to Cuba?

European businesses have found trade between countries easier in the past decade for two reasons: a reduction of tariffs and

A nation's ability to produce a product more efficiently than another country is referred to as

Which relationship BEST illustrates a comparison of absolute advantage and comparative advantage?

If a country is importing more than it is exporting (and therefore has a negative balance of trade), what is ONE way that its balance of payments might be raised to 0?

Which quote BEST represents the idea of trade barriers?

Which statement would MOST LIKELY be claimed by the author of this passage?

The situation described in the passage would MOST LIKELY result in

A trade surplus is generally known as a

Which argument would MOST LIKELY be made by a supporter of the North American Free Trade Agreement (NAFTA)?

This map highlights (in dark blue) the organization founded in the 1960s known as

If you were doing a presentation about "balance of trade," which journal entry would likely be the MOST helpful?

Decreased tariffs between the nations of U.S., Mexico, and Canada All three Countries experienced real wage increases Increased trade between the U.S., Mexico and Canada Created more jobs for all three countries What is this list describing?

Which statement BEST summarizes the information presented in this map?

The value of the Dollar appreciates versus the Euro. Who will benefit?

Which statement is the BEST example of a point of view opposed to free trade?

What is the benefit of the U.S. producing only Product B and Japan producing only Product A?