Africa's Economic Systems

1. What does South Africa specialize in producing?

• energy resources

• food products

• manufactured goods

• precious metals

2. How would you describe South Africa's economy?

• Market leaning

• Command leaning

• Traditional

• None of the above

3. Which economic system is being described below? *

All economic decisions are made by the government.

Government owns most properties.

Government sets the price of sold goods.

Government plans what goods/services to produce.

• Traditional

• Market

• Command

• None of the above

4. Why is specialization so valuable to international trade today? *

• Specialization drives the prices up of imported goods.

• Specialization allows people to do a more efficient job at producing what they make best.

• Specialization limits the amount of agriculture within a country.

• Specialization does not make a difference in international trade.

5. Tariffs and quotas are alike because they both:

• increase free trade between countries

• tax and limit trade between countries

• make free trade easier between countries

  Clear selection

• completely stop trade between countries

6. The United Nations opposed the Apartheid system and placed an embargo on which African country in response to it?

• Kenya

• Nigeria

• DROC

• South Africa

7. When the government decides to impose a quota, it places a limit on ...

• people's incomes

• renewable resources

• imported goods

• people coming into the country

8. On the snack shop activity we exchanged currency between the United States and Kenya, Nigeria, and South Africa. Three of these currencies are listed below. Which one is NOT a currency for these countries? *

• Franc

• Rand

• Shilling

• Naira

9. Only 100,000 cars from Germany are allowed to be imported into Kenya each year. This is an example of which type of trade barrier? *

• embargo

• tariff

• physical trade barrier

• quota

10. What makes trading currency between different countries fair?

• free trade

• imposing tariffs

• exchange rates

• the stock market