UNIT 6 Quiz

Trade is the 

• voluntary exchange of goods/services and benefits both sides 
• required exchange of goods/services 

A barrier is meant to 

• encourage the flow of trade
• block or slow down trade
• make people obey the government 

A tariff is a ______

• tax placed on imported goods
• a limit placed on imported goods
• a stop of all trade 

In 1962, the United States prohibited all imports and exports to and from Cuba. This is a(n)...

• Tariff

• Quota

• Embargo

If a country has a high literacy rate, then it will usually have a high standard of living.

• True

• False

SS6E2a. 
How does specialization encourage trade between two countries?

• A  Specialization produces such an abundance of one product that the country is forced to trade it.
• A  Specialization creates a diversity of products in one country and very few products in others.
• Specialization utilizes different natural resources that are shared between multiple countries.
• A  Specialization allows for countries to master one product and sell it to other countries that may need it. 

SS6E1c
This is the strongest economy of all the South American countries 

• Venezuela 
• Colombia
• Cuba
• Brazil

SS6E2b  
In order to help U.S. car companies sell more cars, some people want to put a limit on the number of cars that can be imported from other countries. This is an example of a(n)

• tariff
• quota
• embargo
• voluntary exchange

SS6E2b
Which situation might keep an embargo against a country from being successful?

• The country is able to find other trading partners.
• The country does not need to trade with other countries.
• People in the other country suffer because trading has stopped.
• People in the other country don't care whether their country trades with other countries.

SS6E2d
What is one reason for people to exchange currency?

• to make more money by trading currency
• most people want to use American dollars to trade
• because different countries have different currencies
• to buy and sell goods and services with other countries