Voluntary Trade

___________________ occurs when different countries choose to engage in the exchange of goods with one another.

• Crimes

• Specialization

• Voluntary Trade

• Tariffs

Voluntary trade is good because...

• it lets a country sell its own

  resources and buy the resources it doesn't have

• it allows countries to take over resources

• it allows countries to monopolize goods and services

• It isn't a good thing

Trade barriers are natural or man-made obstacles to voluntary trade.

• True

• False

Which is the best description of a successful economy?

• Mutually beneficial

• Strong trading partners

• Voluntary

• All of the above

What is voluntary trade?

• A mutual exchange of goods and services between parties

• A forced exchange of goods and services

• A government-mandated trade agreement

• A trade that occurs only within a single country

Which of the following is a benefit of voluntary trade?

• Increased economic efficiency

• Decreased competition

• Increased tariffs

• Decreased consumer choice

Voluntary trade is based on which economic principle?

• Scarcity

• Opportunity cost

• Comparative advantage

• Monopoly

Which of the following is NOT a characteristic of voluntary trade?

• Mutual benefit

• Coercion

• Specialization

• Exchange of goods

How does voluntary trade affect consumer choice?

• It limits consumer choice

• It increases consumer choice

• It has no effect on consumer choice

• It decreases the quality of goods

What role do tariffs play in voluntary trade?

• They facilitate voluntary trade

• They are barriers to voluntary trade

• They have no impact on voluntary trade

• They are the main drivers of voluntary trade