Trade and Globalization

Sending goods to another country to sell.

• import

• export

Bringing goods in from another country to sell.

• import

• export

A policy in which a nation does not try to limit imports or exports by enacting tariffs (taxes on imports) or subsidies (money to assist an industry so prices can remain low).

• Free Trade

• Trade War

• Goods and Services

• Supply and Demand

When people trade how do both sides benefit?

• Countries can focus on producing specific goods from their natural resources instead of trying to create everything they need

• Countries can take advantage of each other making the international market more secure

• Countries are able to learn the weaknesses of other countries and exploit those for natural resources

• Countries are able to enter other countries with spies and foreign agents to undermine governments.

What is globalization?

• The increased flow of trade, people, technology, and culture among countries.

• The decreased flow of trade, people, technology, and culture among countries.

• The creation of one global empire and government under a single super power.

• The creation of a global cellular network to use phones internationally.

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

• tariff
• quota
• subsidy
• embargo

Bangladesh has a comparative advantage in which stage of the manufacture of a shirt?

• sewing the cloth into shirts

• farming the cotton

• spinning the cotton into yarn

• shipping

Which are a positive effects of globalization?

• opening of new markets

• increased pollution

• loss of job in the US

• cheaper consumer goods

• higher standards of living in developing countries

Which of the following has helped create a global economy in the present day?

• The use of high taxes for imports and exports
• Improvements in technology have made trade easier
• The creation of one form of currency (money) used to trade
• The success of the Communist governments in guiding trade

What are some cons of globalization?

• environmental degradation

• possibility of a worldwide pandemic

• loss of manufacturing jobs in some places

• all of the choices