Unit 9 Review- Globalization & Trade

If you have a "comparative advantage" in the production of a good/service, it means you have:

• A natural inherited talent for the production of the good/service

• A lower opportunity cost for the production of the good/service

• More available free time to pursue your interests and career goals

• A higher position of authority within society than someone without a comparative advantage

If you export more goods than you import, your country will have a trade ____________________.

• Deficit

• Surplus

• Comparative Advantage

• War

True or False: The U.S. typically exports more than it imports.

• True

• False

Taxes on imports/exports are called:

• Fiscal Taxes

• Import Quotas

• Standard Deductions

• Tariffs

The exchange of goods and services by sale or barter driven by the need for resources.

• Fair Trade

• Globalization

• Trade

• Standard of Living

Sending goods to another country to sell.

• import

• export

Bringing goods in from another country to sell.

• import

• export

The development of a worldwide economy where resources flow fairly freely across borders.

• Globalization

• Economy

• GDP

• Economic Independence

Who typically ends up paying tariffs?

• Importers and/or consumers

• The International Monetary Fund

• Congress

• Exporters

When the economy of two countries depend on each other, it's called:

• economic interdependence

• multinational cooperation

• isolationism

• outsourcing