International Trade Retrieval Practice

To focus on producing one thing to improve productivity is known as:

• Specialization

• International trade

• Absolute Advantage

When determining comparative advantage one must determine

• Opportunity cost

• Specialization

• Absolute Advantage

If I am better at all types of production, I have the ______ in all forms of production.

• Comparative advantage

• Specialization

• Absolute advantage

This trade barrier limits the number of products that can be brought into a country.

• Tariff

• Quota

• Subsidy

This is a tax on imports that is used to increase price of foreign products and raise government revenue.

• tariff

• quota

• embargo

This is the most restrictive of the trade restrictions a nation can use to close off all importation of a product.

• tariff

• quota

• embargo

The policy of imposing duties or quotas on imports in order to protect home industries from overseas competition.

• free trade
• protectionism
• balance of trade

An economic system in which individuals and businesses make decisions about what to produce.

• Market economy

• Mixed economy

• Command economy

What are capital resources?

• things from nature used to produce goods
• the machines, tools, and buildings used to produce goods
• the people used to produce goods

Who or what answers the basic economic questions in a command economy?

• Individuals and Businesses

• Government

• Individuals, Businesses, and Government