Trading and Globalization

The business of buying, selling or exchanging goods is _______________

• a good idea
• made
• trade
• migrate

When we talk about different nations around the world sharing more goods, ideas, cultures and systems of government, we are talking about ____________________________

• neighbors
• globalization
• realization
• sensation

A landlocked country would have difficulty trading goods.

• True

• False

Goods and services a country produces and sells to other countries

• imports

• exports

• demand

• supply

Goods and services brought in from other countries

• supply

• exports

• imports

• tariff

Why does the United States need to import products?

• The US does not import products
• Some are easier and cheaper to make in other countries
• The US makes all of its own products

This economic union was created to control the supply and price of oil.

• EU - European Union

• UN - United Nations

• OPEC - Organization of Petroleum Exporting Countries

Countries will export goods and services that they can produce at lower costs than other countries is

• Absolute advantage

• comparative advantage

• globalization

• trade

Why do countries trade with each other?

• They want everything.
• They may have a large amount of one resource and not enough of another.
• They want to make friends.
• All of the above.

NAFTA stands for North American Free Trade Agreement.  Which countries are a part of that?

• South America, Japan, and Egypt
• North America, Brazil, and Argentina
• Canada, United States, and Mexico
• Ireland, Scotland, and Wales