Lesson Review: Introduction and The Evolution of Global Trade

Global trade involves the exchange of goods and services between countries.

• True

• False

Answer explanation

Global trade indeed involves the exchange of goods and services between countries, making the statement true.

Global trade always benefits all countries equally.

• True

• False

Answer explanation

Global trade does not benefit all countries equally due to factors like economic disparity, resource distribution, and trade policies. Some countries may gain more than others, making the statement false.

The Silk Road was established during the Roman Empire.

• True

• False

Answer explanation

The Silk Road was established during the Han Dynasty in China, not the Roman Empire. Therefore, the statement is false.

The Age of Exploration in the 15th century significantly expanded global trade routes.

• True

• False

Answer explanation

True. The Age of Exploration in the 15th century led to the discovery of new lands and sea routes, significantly enhancing global trade by connecting Europe with Asia, Africa, and the Americas.

The Bretton Woods Conference in 1944 led to the establishment of the World Trade Organization (WTO).

• True

• False

Answer explanation

The statement is false because the Bretton Woods Conference established the International Monetary Fund (IMF) and the World Bank, not the World Trade Organization (WTO), which was created later in 1995.

The World Trade Organization (WTO) regulates international trade.

• True

• False

Answer explanation

True. The World Trade Organization (WTO) is an international body that regulates and facilitates trade between countries, ensuring that trade flows as smoothly and predictably as possible.

The Silk Road connected Asia with Europe.

• True

• False

Answer explanation

The Silk Road was a network of trade routes that connected Asia with Europe, facilitating the exchange of goods, culture, and ideas. Therefore, the statement is true.

The English Channel is a key trade route between the UK and South America.

• True

• False

Answer explanation

The English Channel primarily connects the UK to continental Europe, not South America. Therefore, the statement is false.

The Strait of Malacca is one of the busiest shipping lanes in the world.

• True

• False

Answer explanation

The Strait of Malacca is indeed one of the busiest shipping lanes globally, facilitating a significant portion of maritime trade between Asia and the rest of the world. Therefore, the correct answer is True.

The Strait of Hormuz is located between Malaysia and Indonesia.

• True

• False

Answer explanation

The Strait of Hormuz is not located between Malaysia and Indonesia; it is situated between Iran and Oman, connecting the Persian Gulf to the Gulf of Oman. Therefore, the statement is false.