Africa Specialization + Trade Barriers

Trade Barriers are set up to protect...

• Domestic jobs from Foreign competition

• Foreign jobs from Domestic competition

Nigeria applies a 10% price increase to all Saudi Arabian oil to protect their domestic businesses. This is a...

• Tariff

• Quota

• Embargo

Specialization makes products...

• Efficiently

• Inefficiently

Which of the following would INCREASE GDP per Capita?

Select all that apply.

• Investment in Human Capital

• Investment in Capital Goods

• Natural Resources

• Entrepreneurs

Nigeria, Kenya and South Africa are...

• Mixed Market

• Mixed Command

• Pure Market

• Pure Command

Why do countries Exchange Currency?

• They do not have the same currency so they need to know the value of what they're spending.

• To make more money.

• They only use the United States Dollar to trade and do business.

A country focuses on government, state owned businesses but does allow some entrepreneurship with heavy government regulations. They are most likely..

• Pure Command

• Pure Market

• Mixed Command Leaning

• Mixed Market Leaning

Because most countries are mixed...

• Some businesses can be government owned.

• No businesses can be government owned.

• All businesses are owned by the government.

In a traditional economy...

• The government picks your job.

• Entrepreneurs may create their own businesses.

• Jobs are inherited from ancestors based from customs.

Which economic system does NOT use currency?

• Traditional

• Market

• Command

• Mixed