Unit 2 Test REVIEW Global Business

   Embargoes are issued to protect their own industries from international competition.

• TRUE

• FALSE

A group of countries that agree to eliminate all tariffs (or other restrictions) on international trade between each other and to have a common external tariff:

• political markets

• embargo markets

• common markets

• tariff markets

What does a free trade agreement do?

• removes tariffs and other trade barriers between countries

• allows countries to bargain to end political warfare

• allows ships to enter into ports without any restrictions

• allows government of the country to impose a tariff on any goods that are inferior

Signed by US, Canada & Mexico in 1992, took effect in 1994:

• USMCA

• NAFTA

• NASA

• USCMA

This free trade agreement was criticized in the United States for contributing to job losses and outsourcing:

• NORTH AMERICAN FREE TRADE AGREEMENT

• WORLD TRADE ORGANIZATION

• INTERNATIONAL MONTARY FUND

• none of these

A government may establish trade barriers to:

• increase imports

• decrease imports

Restrictions that reduce free trade and limit competition from imported goods:

• trade nations

• free trade agreements

• trade barriers

• common markets

Doing business in other countries requires knowledge of thedifferences that exist among people and places.

• TRUE

• FALSE

NAFTA was a trade deal between Canada, Mexico and .....

• CHINA

• UNITED KINGDOM

• UNITED STATES

• GERMANY

When member countries agree to remove duties and trade barriers on products traded among them, this is referred to as:

2. Export zone

3. Free trade agreement 

4. Free trade zone

• free trade zone

• Common market

• export zone

• free trade agreement