Quiz on Globalisation

What impact has globalization had on extreme poverty globally, according to the text?

• Increased extreme poverty

• No change in extreme poverty

• Fewer people in extreme poverty

• More people in extreme poverty

What has helped reduce specialization according to the text?

• Increased tariffs

• Technological advancement

• Higher taxes

• Globalization

What is one advantage of specialization and trade in an international context?

• Greater world output

• Increased unemployment

• Higher taxes

• Less variety of goods

What is a disadvantage for less developed countries engaging in specialization?

• Increased resource availability

• Use up non-renewable resources quickly

• More diverse economy

• Higher economic growth

What is a potential benefit of specialization for businesses?

• Decreased efficiency

• Higher production costs

• Focus on strengths

• Limited market access

What is one factor that affects the relative prices of goods between countries?

• Exchange rate

• Population size

• Climate

• Language

What is a factor that influences a country's terms of trade?

• Population size

• Exchange rates

• Climate change

• Political stability

What is the impact of a rise in import prices on the terms of trade?

• Improvement

• Deterioration

• No change

• Inflation

How can improving terms of trade affect consumers in a country?

• Lower standards of living

• Higher standards of living

• Increased unemployment

• Decreased economic growth

What is the impact of tariffs on consumer prices?

• Prices decrease

• Prices remain the same

• Prices increase

• Prices fluctuate randomly