Econ- 7.2 Formative Assessment- Option 1

Categorize

Options (10)

Dealing with the rules of trade b/w nations

The goal is to help producers of goods/services, exporters and importers conduct their business

Attempts to settle disputes & reduce trade tensions

Help countries develop

Attempts to stimulate economic growth and employment

Lowering trade barriers

Accused of being lax on environmental protections

Seen as allowing richer countries to get what they want far more often than poorer countries

Helps industries access new markets

Increases the number of products available to consumers

Sort each of the given characteristics into the proper category given.

World Trade Organization (WTO)

Free Trade Agreements (FTAs)

Both the WTO & FTAs

Dropdown

Identify the correct argument for limiting trade based on each description below. Your options are: Protect Infant Industries; Protect Jobs; Anti-Dumping; National Security



1. Our country needs to be able to rely on itself to produce everything it needs in case of war or conflict with another country or countries. 

Argument:​​ ​

Select answer

2. Domestic producers cannot compete against foreign producers selling a product for less than the domestic market price.

Argument:​

Select answer

3.Unemployment will rise in our country if we don’t restrict trade with countries because, without trade restriction, many domestic businesses will close, causing many to be out of work. 

Argument:​

Select answer

4. Industries in our country that are smaller than similar industries in other countries need help competing against these larger, more established foreign industries.

Argument:​

Select answer

Categorize

Options (13)

A tax on foreign made goods and services

Shifts the entire supply curve of a foreign made good to the left

Most often used type of trade restrictions.

A numerical limit on foreign-made products

Causes the supply curve of a foreign-made good to eventurally go completely vertical

Forbids trade of 1, 2 or more more goods from a specific country

Harshest type of trade barrier

Most often put into place for political reasons.

Decreases Supply of foreign made goods

Increases the price in market for the impacted goods.

Typically causes the quality of the impacted goods to decrease.

Causes consumers to purchase more domestic-made good(s).

Categorize each characteristic given under the correct type of trade restriction.

Tariff

Quota

Embargo

All Trade Restrictions

Dropdown

For each of the following scenarios, identify the Formal Trade Restriction that is being used.  Your options are: TARIFF; QUOTA; EMBARGO




1. China requires foreign automakers to pay a 25% tax to sell their cars inside China’s borders.

Formal Trade Restriction:​

Select answer

 ​ ​ 2. In 2006, The United Nations unanimously adopted a resolution to stop the export to and the import from Iran on certain items and technology potentially related to nuclear weapons.

Formal Trade Restriction:​

Select answer

3.Currently, the US limits the annual amount of steel coming from the countries of the Republic of South Korea, Brazil, and Argentina to 500,000 kg or less. 

Formal Trade Restriction: ​

Select answer

4. n 2016 Brussels increased the import tax on citrus fruits from third-party countries from 3.2% to 16%.



Formal Trade Restriction:​

Select answer