#6 Trade, Exchange Rates, Globalization, Economic Development

requiring or relying on something (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

the ability to produce a good or service more efficiently than another country can produce the same good or service (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

the act of limiting the kinds of goods and services produced (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

When one country has an absolute advantage in producing a product, then that country can typically benefit by (a)   that product.

• exporting
• importing
• hording it for themselves

the ability to produce a good or service at a lower opportunity cost than another country (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

Remember that (a)   is the loss of potential gain from other alternatives when one alternative is chosen. (you may have to look it up?)

• opportunity cost
• comparative advantage
• absolute advantage

Trade benefits all of the countries involved as long as they have __________ costs to produce goods.

• different

• similar

A trade agreement between 27 countries of with the same currency and open trade between those nations. (a)  

• NAFTA
• EU
• WTO
• ABC

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

• tariff
• quota
• subsidy
• embargo

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

• tariff
• quota
• subsidy
• embargo