Unit 2

Which of the following is an example of a trade barrier?

• Free trade agreements

• Tariffs

• Open borders

• Open market

A government provides financial support to domestic farmers to help them compete with foreign producers. This is an example of:

• A tariff

• A subsidy

• A quota

• Anti-dumping

The government sets a limit on how many cars can be imported from a specific country. This is an example of:

• A tariff

• A subsidy

• A quota

• Deregulation

When a country imposes extra duties on imported goods that are sold below their fair market value, it's implementing:

• A subsidy

• Anti-dumping measures

• Protectionism

• Trade barriers

The policy of protecting newly established domestic industries from foreign competition is known as:

• Infant industry protection

• Anti-dumping

• Outsourcing

• Deregulation

Country A increases tariffs on Country B's goods in response to Country B's trade restrictions. This action is best described as:

• Incentivizing

• Retaliating

• Outsourcing

• Deregulating

The difference between a country's exports and imports is called

• Trade balance

• Trade surplus

• Trade deficit

• Trade equilibrium

When a country imports more goods and services than it exports, it has a:

• Trade deficit

• Trade surplus

• Balanced trade

• Trade barrier

Which of the following is NOT a non-tariff measure?

• Quotas

• Tariffs

• Import licences

• Regulations relating to documents

The government agency responsible for collecting duties on imported goods is often referred to as:

• Customs

• Trade Commission

• Revenue Service

• Border Control