Intro to International Trade

Which of the following defines balance of trade?

• The prohibition of free trade
• The difference between amount exported and amount imported
• The need for all countries to participate in trade equally
• ^{The law requiring fair trade among all countries}

Which of the following allows countries which are members to impose a uniform tariff on trade with countries which are not members?

• An antitrust law
• A trade surplus
• A trade security contract
• A free trade agreement

Which of the following was NOT listed as a benefit of international trade?

• Boosts economy
• Creates efficiency
• Distributes wealth
• Improves manufacturing of products

What is described as a policy in which there is no government regulation and countries may trade as they please?

• Free trade
• Balance of trade
• Imports
• Exports

A trade deficit occurs in which of the following situations?

• When imports and exports are equal
• When imports are greater than exports
• When exports are greater than imports
• When exports and imports are zero