47: explain how voluntary trade benefits buyers and sellers in Southwest Asia (Middle East)

What is a tariff?

• A tax on imports
• A limit on imports
• A halt to trade
• A tax on exports

What is an embargo?

• A tax on imports
• A limit on imports
• A halt to trade
• A tax on exports

What is a quota?

• A tax on imports
• A limit on imports
• A halt to trade
• A tax on exports

What is GDP?

• the total value of all goods and services produced in a year in one country
• the total value of goods produced by a person in a year.
• the total value of goods consumed by a person in one year.
• the total value of all goods and services consumed in a year in one country

Why do countries need an exchange rate?

• to promote tourism

• to determine GDP

• to see who has the most money

• to trade with each other

How does the literacy rate impact the economy of a country?

• Usually the lower the literacy rate, the more successful the economy.

• Usually the higher the literacy rate, the less successful the economy.

• Usually the higher the literacy rate, the more successful the economy.

• Usually the lower the literacy rate, the more money the country has to spend.

What is specialization?

• when a country produces only the goods it can make easily and efficiently, and then trades to get other goods

• when a country produces only special goods, and then trades to get other goods

• when a country produces only the goods to export, and then trades to get other goods

• when a country only imports goods, and then trades to get other goods

Why are most countries better off specializing in the production of particular goods, and then trading with other nations to obtain whatever else they need?

• Transportation costs are lower than they were a century ago.

• Resources are not evenly distributed among countries.

• Greater investment of capital goods increases productivity.

• People have limited resources to satisfy unlimited wants.

Read the following two statements:

1. Nation A produces cars more efficiently than it can grow food crops.

2. Nation A produces cars and buys food from Nation B.

What principle of economics is illustrated by these two statements?

• Laws of Supply and Demand

• Scarcity

• The Factors of Production

• Specialization

Why was OPEC created?

• To regulate the supply and price of oil

• to help the Palestinians in their problems with Israel

• to design new machinery to get oil out of the ground

• to keep countries that are not members from producing any oil